Supply is highly elastic in the market period but tends to become more inelastic in the long run.

Name: Supply is highly elastic in the market period but tends to become more inelastic in the long run.
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Question

Quizplus · Accepted Answer

In the market period, supply is typically highly inelastic because firms cannot easily change the quantity of goods or services available for sale in the short term. Over the long run, supply tends to become more elastic as firms have more time to adjust their production levels.

Supply Is Highly Elastic in the Market Period but Tends