If the long-run supply of rice is perfectly elastic, then
A) as people's incomes rise, the quantity of rice supplied decreases.
B) as the price of corn falls, the quantity of rice demanded decreases.
C) in the long run, a large rise in the price of rice causes no change in the quantity of rice supplied.
D) in the long run, an increase in the demand for rice leaves the price of rice unchanged.

Question

Quizplus · Accepted Answer

In a perfectly elastic long-run supply, any increase in demand will be met with an increase in quantity supplied without a change in price.

If the Long-Run Supply of Rice Is Perfectly Elastic, Then