Definition
Inelastic supply occurs when quantity supplied changes little with price changes.
Why It Matters
It affects market responses to price changes.
Example
Limited housing supply in the short run.
Malone Global University
Malone Global University
Economics Glossary – Malone Global University
Inelastic supply occurs when quantity supplied changes little with price changes.
It affects market responses to price changes.
Limited housing supply in the short run.