The demand curve for gasoline should be

A. more elastic in the long run than in the short run.
B. less elastic in the long run than in the short run.
C. more or less elastic in the long run versus the short run depending upon supply conditions.
D. as elastic in the long run as it is in the short run.


Answer: A

Economics

You might also like to view...

The price of a commodity in terms of another commodity is

A) the law of demand. B) a substitute. C) the money price. D) the relative price.

Economics

Under normal monopoly, P > MC, and so the marginal benefit to society of increasing output exceeds the marginal cost. This means that an increase in output will increase welfare.

Answer the following statement true (T) or false (F)

Economics

As of 2015, ________ of U.S. adults aged 25-29 had at least a bachelor's degree.

A. 8.2% B. 13% C. just over 50% D. 35.6%

Economics

Which of the following is TRUE of the price charged by a monopolistically competitive firm at the profit-maximizing level of output?

A) P > MC B) P = MC C) P = MR D) P < AVC

Economics