The elasticity of supply can measured by the following formula:
ES = Percentage change in supply / Percentage change in price
= ∆Q /Q0 ÷ ∆P /P0 , where,
∆Q = change in supply
= ∆Q /Q0 x P0/∆P, ∆P = change in price
= ∆Q /QP x P0/Q0, Q0 = original supply
P0 = original price
