Asked by shivangi thakur on Jul 07, 2024
Verified
The more time that elapses, the
A) less price elastic is the demand for the product.
B) more price elastic is the demand for the product.
C) greater the income elasticity of demand for a product.
D) smaller the income elasticity of demand for the product.
More Elastic
Describes a scenario where the quantity demanded or supplied of a good or service is more responsive to changes in its price.
Income Elasticity
A measure used in economics to show how the demand for a good or service changes in response to changes in consumer income.
Elapses
Refers to the passage of time or the process of something coming to an end or expiring.
- Acquire knowledge on why elasticity of demand is greater in the long-term perspective as opposed to the short-term.
Verified Answer
JV
Jennifer ValdezJul 08, 2024
Final Answer :
B
Explanation :
Over time, consumers have more opportunity to find substitutes or adjust their behavior in response to price changes, making the demand for a product more price elastic.
Learning Objectives
- Acquire knowledge on why elasticity of demand is greater in the long-term perspective as opposed to the short-term.