The long-run price elasticity of supply for a particular good will be __________ its short-run elasticity.

Name: The long-run price elasticity of supply for a particular good will be __________ its short-run elasticity.
Brand: Quizplus
Rating: 4.7 (50 reviews)

Question

Quizplus · Accepted Answer

In the long-run, firms have more time to adjust their production processes and inputs, making it easier for them to increase or decrease their supply in response to price changes. Therefore, the long-run price elasticity of supply tends to be greater than the short-run elasticity.

The Long-Run Price Elasticity of Supply for a Particular Good