Today's supply curve of dorm rooms on campus is likely to be
A)downward sloping
B)relatively flat
C)vertical
D)horizontal
E)price elastic

Question

Quizplus · Accepted Answer

The supply of dorm rooms on campus is likely to be vertical because the quantity supplied is fixed in the short run. The university cannot easily add more dorm rooms when demand increases, so the supply remains the same regardless of the price.

Today's Supply Curve of Dorm Rooms on Campus Is Likely