Determinants of Price Elasticity of Supply

[@orlandobailey2237]

What factors may influence the price elasticity of supply for a transportation company like a bus or taxi service

[@ibeconguru]

All of those factors would influence PES for this company: 1- time: PES will be more elastic in the LR 2- availability of unused capacity: unused vehicles vs all vehicles used to max capacity 3- ability to store: vehicles are durable and not perishable so can be stored => storage costs need to be factored into supply decisions 4- rate at which costs increase => if plenty of unused capacity and idle vehicles => supply can be increased without much rise in costs => supply will be more elastic