The Supply Curve for Oil Is ________ Because ________

question 4

Multiple Choice

The supply curve for oil is ________ because ________.

• A) elastic; per unit costs do not increase when the quantity supplied increases
• B) elastic; oil exploration and drilling is not expensive relative to revenues earned
• C) inelastic; per-unit costs rise quickly when the quantity supplied increases
• D) inelastic; oil exploration and drilling is not expensive relative to revenues earned