Asked by Rafael Sanchez on Jun 19, 2024

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A glass company making windows for houses also makes windows for other things (cars, boats, stores, etc.) . We would expect its supply curve for house windows to be

A) dependent on the demand for boat and plane windows.
B) no different from that of firms which make only house windows.
C) relatively more elastic than those of firms that make only house windows
D) relatively more inelastic than those of firms that make only house windows

Glass Company

A business that specializes in the production and processing of glass products.

House Windows

Transparent openings in a building's envelope that allow light and air to enter while keeping the weather out.

Supply Curve

A graphical representation showing the relationship between the price of a good and the quantity of the good that producers are willing to sell.

  • Identify the components that affect the responsiveness of supply and demand to price changes.
  • Recognize the role of cross elasticity of demand in assessing the relationship between goods.
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Udeme EbongJun 22, 2024
Final Answer :
C
Explanation :
The supply curve for a company that makes windows for various applications (houses, cars, boats, etc.) is likely to be more elastic because it can easily switch its production between these different types of windows based on changing market conditions. This flexibility makes it easier for the company to adjust its supply of house windows in response to changes in price, compared to a company that only makes house windows.