Price elasticity of supply and price elasticity of demand are likely to be __________ in the __________ than in the __________.
A)higher; short run; long run
B)lower; long run; short run
C)higher; long run; short run
D)lower; past; future
E)higher; past; future

Question

Quizplus · Accepted Answer

Price elasticity of supply and price elasticity of demand are likely to be higher in the long run than in the short run because producers and consumers have more time to adjust their behaviors and resources in response to price changes.

Price Elasticity of Supply and Price Elasticity of Demand Are