Question: teresa is a stayathome parent who lives in san francisco...
Teresa is a stay-at-home parent who lives in San Francisco and teaches tennis lessons for extra cash. At a wage of $25 per hour, she is willing to teach 6 hours per week. At $35 per hour, she is willing to teach 16 hours per week.
Using the midpoint method, the elasticity of Teresa’s labor supply between the wages of $25 and $35 per hour is approximately _________ , which means that Teresa’s supply of labor over this wage range is (elastic/inelastic) .