Which of the following is true about the demand for gasoline? A.It is probably more price elastic in the short run because price will increase by a higher percentage. B.It is probably more price elastic in the long run because it is easier to find substitutes for gasoline in the long run. C.It is probably more price elastic in the short run because it is easier to find substitutes for gasoline in the short run. D.It is probably more price elastic in the long run because price will increase by a higher percentage.

Price ealsticity of demand refers to the percentage change in the quantity demanded of the goods or…

Answered: Which of the following is true about…

Microeconomics

13th Edition

ISBN:9781337617406

Author:Roger A. Arnold

Publisher:Roger A. Arnold

Chapter6: Elasticity

Section: Chapter Questions

Problem 8QP

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Which of the following is true about the demand for gasoline?

	A.	It is probably more price elastic in the short run because price will increase by a higher percentage.
	B.	It is probably more price elastic in the long run because it is easier to find substitutes for gasoline in the long run.
	C.	It is probably more price elastic in the short run because it is easier to find substitutes for gasoline in the short run.
	D.	It is probably more price elastic in the long run because price will increase by a higher percentage.

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