Price elasticity of demand is generally
A)greater in the long run than in the short run.
B)greater in the short run than in the long run.
C)the same in both the short run and the long run.
D)greater for "necessities" than it is for "luxuries."

Question

Quizplus · Accepted Answer

Price elasticity of demand tends to be greater in the long run than in the short run because consumers have more time to adjust their behavior and find alternatives when prices change over a longer period.

Price Elasticity of Demand Is Generally