INELASTIC SUPPLY
(noun)Definitions
There is 1 meaning of the phrase
Inelastic Supply.
Inelastic Supply - as a noun
A situation in which any change in the price of a given good does not equal a corresponding change in its supply.
Example Sentences
"In an inelastic supply market, a small change in price results in a very limited change in quantity supplied."
"A monopoly typically has an inelastic supply because it has full control over the quantity supplied in the market."
"A company that produces a patented drug may have an inelastic supply due to its exclusive rights to produce and distribute the drug."
"E-cigarettes have an inelastic supply since they require specialized components that may not be readily available."
"In the event of a sudden increase in demand, an inelastic supply can cause prices to skyrocket."
