The demand for a resource is generally more

a. elastic in the short run because it takes time to alter the ratio of resources used in many production processes.
b. inelastic in the short run because it takes time to alter the ratio of resources used in many production processes.
c. elastic in the short run because an increase in the price of the resource may not be expected to last.
d. inelastic in the short run because once resource suppliers find out they can charge a higher price, they will do so in the long run.

B

Economics

You might also like to view...

What impact does monetary policy have on the long-run Phillips curve?

A) Monetary policy shifts the long-run Phillips curve to the right or left, depending on whether monetary policy is expansionary or contractionary. B) Monetary policy can only shift the long-run Phillips curve to the right. C) Monetary policy can only shift the long-run Phillips curve to the left. D) Monetary policy has no impact on the long-run Phillips curve.

Economics

Banks have a maturity mismatch since

A) they borrow long term, but lend short term. B) they borrow short term, but lend long term. C) some of their loans are short term while others are long term. D) some of their borrowings are short term while others are long term.

Economics