If supply is perfectly elastic, the value of the price elasticity of supply will be equal to _____.

If supply is perfectly elastic, the value of the price elasticity of supply will be equal to _____.

0.5
0
∞Correct
1

Explanation
Elasticity of supply is a measure of how responsive supply is to a change in price. When price elasticity is equal to ∞, it would mean that supply is perfectly elastic.