The Demand for a Resource Is Generally More

question 66

Multiple Choice

The demand for a resource is generally more

• A) elastic in the short run because it takes time to alter the ratio of resources used in many production processes.
• B) inelastic in the short run because it takes time to alter the ratio of resources used in many production processes.
• C) elastic in the short run because an increase in the price of the resource may not be expected to last.
• D) inelastic in the short run because once resource suppliers find out they can charge a higher price, they will do so in the long run.

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Definitions:

One-tailed Test

A statistical test in which the region of rejection is on only one side of the sampling distribution, used when predicting the direction of a potential difference or relationship.

Sample Size

The number of observations or subjects selected from a population for a study.

T Distribution

A statistical distribution used when the sample size is small and the population standard deviation is unknown.

One-tailed Test

A hypothesis test in which the region of rejection is on only one side of the sampling distribution, used when assessing the direction of a relationship.