Asked by
Sydney Johns
on Dec 11, 2024
Verified
All things equal, the price elasticity of supply
A) will be greater in the short run than in the long run.
B) will be greater in the long run than in the short run.
C) is the same for the short run and the long run.
D) approaches zero in the long run.
Price Elasticity
The measure of responsiveness of the quantity demanded or supplied of a good to a change in its price.
Supply
The total amount of a good or service available for purchase at any given price.
- Describe the determinants that affect the supply elasticity and the differences in its variability in the short term compared to the long term.
Verified Answer
CJ
Learning Objectives
- Describe the determinants that affect the supply elasticity and the differences in its variability in the short term compared to the long term.