15 Determinants of PES

This video breaks down the key factors that influence Price Elasticity of Supply (PES). We explore how production time, the capacity of firms to utilize unused resources, and the availability of stocks or inventories all play a role in how responsive supply is to price changes. Additionally, the video examines the ability to switch factors of production, the impact of technology, and the crucial distinction between short-run and long-run supply responses. Understanding these determinants is essential for grasping market dynamics. Subscribe to @AxiomTutoringCourses for more educational content.