Recall the Application about the short-run and long-run elasticity of supply of coffee to answer the following question(s).
-Recall the Application. In the long run, the supply curve for coffee is ________ and the elasticity of supply is ________ than in the short run.
A) steeper; larger
B) steeper; smaller
C) flatter; larger
D) flatter; smaller

Question

Quizplus · Accepted Answer

In the long run, the supply curve for coffee is flatter because producers have more time to adjust their production in response to price changes, making the elasticity of supply larger than in the short run.

Recall the Application About the Short-Run and Long-Run Elasticity of Supply