Illustrate with the help of a diagram, higher the price elasticity of supply, larger will be the per unit tax burden borne by the consumers.

In microeconomics, the concept of price elasticity of supply measures the responsiveness of the quantity supplied of a good to a change in its price. The formula for price elasticity of supply (E_s) is the percentage change in quantity supplied divided by the percentage change in price.

\[ E_s = \frac{\% \text{ change in quantity supplied}}{\% \text{ change in price}} \]

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