What does it mean if the income elasticity of supply is zero?

Economics Elasticity Of Supply Questions



80 Short 64 Medium 44 Long Answer Questions Question Index

What does it mean if the income elasticity of supply is zero?

If the income elasticity of supply is zero, it means that the quantity supplied of a good or service does not change in response to changes in income. In other words, the supply of the good or service is completely inelastic with respect to changes in income.