The price elasticity of supply is higher when
A) the number of producers in the market increases over time.
B) the product in question is a complementary good.
C) the number of buyers in the market increases.
D) producers have less time to adjust to price changes.
Ans: A) the number of producers in the market increases over time.
You might also like to view...
In the short-run, a temporary increase in the money supply
A) shifts the AA curve to the right, increases output and depreciates the currency. B) shifts the AA curve to the left, increases output and depreciates the currency. C) shifts the AA curve to the left, decreases output and depreciates the currency. D) shifts the AA curve to the left, increases output and appreciates the currency. E) shifts the AA curve to the right, increases output and appreciates the currency.
Marking to market refers to
A) the determination of the prices of options contracts by the interaction of demand and supply. B) the determination of the prices of futures contracts by the interaction of demand and supply. C) the settlement of gains and losses on futures contracts each day. D) the settlement of gains and losses on forward contracts each day.