Suppose an increase in Demand cause surfboard prices to go up from $350 to $450 each. As a result producers increase quantity supplied from 8,000 to 12,000 boards. Calculate the elasticity of supply using the midpoint method. Is this supply elastic or inelastic?

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Publisher:Tucker, Irvin B.
Chapter5: Price Elasticity Of Demand And Supply
Section: Chapter Questions
Problem 5SQP: Suppose a university raises its tuition from 3,000 to 3,500. As a result, student enrollment falls...
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Suppose an increase in Demand cause surfboard prices to go up from $350 to $450 each. As a result producers increase quantity supplied from 8,000 to 12,000 boards. Calculate the elasticity of supply using the midpoint method. Is this supply elastic or inelastic? 

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