Answered: As more time passes, the price…

As more time passes, the price elasticity of gasoline OA. becomes perfectly elastic. OB. stays the same. OC. increases. OD. decreases. O E. becomes perfectly inelastic.

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter5: Elasticity

Section: Chapter Questions

Problem 9SCQ: Suppose the cross-price elasticity of apples with respect to the price of oranges is 0.4, and the...

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Question

As more time passes, the price elasticity of gasoline
O A. becomes perfectly elastic.
OB. stays the same.
OC. increases.
E O D. decreases.
OE. becomes perfectly inelastic.

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