The quantity of gasoline demanded will respond more to a change in price over three weeks than over three years.

Question

Quizplus · Accepted Answer

Over a longer period, such as three years, consumers have more time to adjust their behavior and make decisions such as buying more fuel-efficient vehicles or using alternative modes of transportation, leading to a greater response in the quantity of gasoline demanded to a change in price.

The Quantity of Gasoline Demanded Will Respond More to a Change