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1. The main determinant of elasticity of supply is the:
A. Number of close substitutes for the product available to consumers.
B. Urgency of consumer wants for the product.
C. Amount of time the producer has to adjust production inputs in response to a price change.
D. Number of uses for the product.
2. Based on the concept of price discrimination, which of the following is NOT likely to occur?
A. Golf courses charging lower prices to golf during the evening than during the day.
B. Restaurants charging lower prices for their kid’s menu items.
C. Movie theatres charging higher prices for early afternoon matinees.
D. Airlines charging higher fares for first class business travelers.
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