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On Valentine's Day, shops sell more roses at a much higher price than on other days. They also sell more boxes of chocolates, but at the same price as on other days. The percentage rise in the price of roses exceeds the percentage increase in the quantity of roses bought. What do these facts tell us about the price elasticity of supply of roses and chocolates? These facts tell us that the supply of roses is and the supply of chocolates is A. elastic; inelastic B. elastic; unit elastic C. inelastic; perfectly elastic D. inelastic; elastic

On Valentine's Day, shops sell more roses at a much higher price than on other days. They also sell more boxes of chocolates, but at the same price as on other days. The percentage rise in the price of roses exceeds the percentage increase in the quantity of roses bought. What do these facts tell us about the price elasticity of supply of roses and chocolates? These facts tell us that the supply of roses is and the supply of chocolates is A. elastic; inelastic B. elastic; unit elastic C. inelastic; perfectly elastic D. inelastic; elastic

Exploring Economics
Exploring Economics
8th Edition
ISBN:9781544336329
Author:Robert L. Sexton
Publisher:Robert L. Sexton
Chapter4: Demand, Supply, And Market Equilibrium
Section: Chapter Questions
Problem 6P
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On Valentine's Day, shops sell more roses at a much higher price than on other days. They also sell more boxes of chocolates, but at the same price as on other days. The percentage rise in the price of roses exceeds the percentage increase in the quantity of roses bought. What do these facts tell us about the price elasticity of supply of roses and chocolates? These facts tell us that the supply of roses is and the supply of chocolates is A. elastic; inelastic B. elastic; unit elastic C. inelastic; perfectly elastic D. inelastic; elastic
Transcribed Image Text:On Valentine's Day, shops sell more roses at a much higher price than on other days. They also sell more boxes of chocolates, but at the same price as on other days. The percentage rise in the price of roses exceeds the percentage increase in the quantity of roses bought. What do these facts tell us about the price elasticity of supply of roses and chocolates? These facts tell us that the supply of roses is and the supply of chocolates is A. elastic; inelastic B. elastic; unit elastic C. inelastic; perfectly elastic D. inelastic; elastic
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