Which of the following markets would reach long-run equilibrium fastest?
A) online retail
B) auto dealers
C) oil extraction
D) World Series tickets

Question

Quizplus · Accepted Answer

Online retail has a low barrier to entry and can easily adjust to changes in supply and demand through inventory management and pricing strategies. As a result, online retail markets tend to reach long-run equilibrium faster compared to other markets with higher barriers to entry and inflexible supply chains such as auto dealers or oil extraction. The market for World Series tickets is influenced by many unpredictable factors such as team performance and game schedules, which may make it difficult to reach long-run equilibrium quickly.

Which of the Following Markets Would Reach Long-Run Equilibrium Fastest