The process involved in bringing oil to world markets can take years. Substitutes for oil-based products such as gasoline are limited. As a result

A) the supply of oil is very inelastic and the demand for gasoline is inelastic over short periods of time.
B) the supply of oil is very elastic and the demand for oil is very elastic over short periods of time.
C) the supply of oil and the demand for oil shift to the right over short periods of time.
D) the supply of oil and the demand for oil are both perfectly elastic over short periods of time.


A

Economics

You might also like to view...

Which of the following is most likely to benefit from government established price floors in agriculture?

A) large farm owners and corporate farms B) small farmers C) cattle ranchers D) low income farmers

Economics

A monopoly can block the entry of others

Indicate whether the statement is true or false

Economics

The major drawback of a binding price ceiling is: a. it causes a surplus

b. government regulations of this kind are difficult to enforce c. it causes a shortage. d. none of the above; there is no drawback.

Economics

Explain why environmentally minded firms in a competitive industry will find it difficult to take environmental action

Economics