The price elasticity of supply becomes ________ elastic over time because _________.
A) less; producers grow accustomed to the price changes
B) less; firms have time to move into or out of the industry
C) more; producers have more time to adjust their production decisions
D) more; producers grow accustomed to the price changes

Question

Quizplus · Accepted Answer

Producers have more time to adjust their production decisions, making the supply more elastic over time as they can change how much they produce in response to price changes.

The Price Elasticity of Supply Becomes ________ Elastic Over Time