PRICE ELASTICITY OF SUPPLY (Es) = % change in Q

% change in Qty supplied = change in qty sup

ΛQ = Q1 - Q0 /Q*100 ΛP = P1 - P0 /P *

(12-10)/10
70- 50/50 =20 /50
0.4 0.2

40% 20%
= % change in Qty Supplied / % change in price

hange in qty supplied (Λ Q) / Q ΛP /P

ΛP = P1 - P0 /P *100

(12-10)/10

0.2 2

20%