The supply of a good will be more elastic when:

• A. there are significant barriers to entry in the market
• B. producers can easily increase production in response to price changes
• C. the good requires highly specialized inputs that are difficult to obtain
• D. the time period considered is very short

Answer: (B)

Verified step by step guidance

1. Understand the concept of price elasticity of supply, which measures how much the quantity supplied of a good responds to a change in its price.
2. Recall that supply tends to be more elastic when producers can adjust production easily and quickly in response to price changes.
3. Analyze each option: barriers to entry limit new producers, making supply less elastic; specialized inputs are hard to obtain, restricting production flexibility; a very short time period limits producers' ability to adjust output.
4. Identify that the condition where producers can easily increase production in response to price changes corresponds to a more elastic supply.
5. Conclude that the supply of a good is more elastic when producers have the ability to adjust production easily, reflecting greater responsiveness to price changes.