-Which statement is true?
A)Over time the supply of a particular good or service tends to become more elastic.
B)A perfectly elastic supply curve is a horizontal line.
C)Supply is most elastic in the long run.
D)All of the statements are true.

Question

-Which statement is true?
A)Over time the supply of a particular good or service tends to become more elastic. 
B)A perfectly elastic supply curve is a horizontal line. 
C)Supply is most elastic in the long run. 
D)All of the statements are true.

Quizplus · Accepted Answer

All the statements are true. Over time, suppliers can adjust their production and resources, making the supply more elastic. A perfectly elastic supply curve is indeed a horizontal line, indicating that any amount of the good can be supplied at a particular price. Supply elasticity tends to increase in the long run as producers have more time to adjust their production processes and inputs.

-Which Statement Is True