"The price elasticity of demand for a particular good is smaller in the long run because consumers adapt to higher prices over time." Do you agree or disagree? Explain
What will be an ideal response?
Disagree. Price elasticity of demand is related to a particular good rather than all the goods that individuals may consume. In the long run, consumers can find more substitutes. Thus, the price elasticity of demand of a particular good is actually greater in the long run than in the short run.
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Which of the following statements is true regarding scarcity?
A) An economy experiences scarcity only when the incomes of its citizens decline. B) All citizens in a wealthy economy experience scarcity. C) Scarcity affects poorer countries only. D) Poor people experience scarcity more often than do rich people. E) Scarcity could be overcome if people would make all choices in the social interest.
What are the human realities of poverty in DVC?
What will be an ideal response?