As the Time Frame Shifts from the Short Run to the Long

question 129

Multiple Choice

As the time frame shifts from the short run to the long run,what happens to producers who are subject to a binding price floor?

• A) They are increasingly willing to substitute away from producing the good,and the supply curve becomes less elastic.
• B) There are no changes,and their elasticity of supply remains unchanged.
• C) They are increasingly willing to substitute away from producing the good,and the supply curve becomes more elastic.
• D) They are less willing to substitute away from producing the good,and the supply curve becomes less elastic.
• E) They are less willing to substitute away from the good,and the supply curve becomes more elastic.

---

Definitions:

Adjusted

A term referring to modifications or changes applied to data or statistical measures to account for various factors, enhancing accuracy or comparability.

Adjusted Value

A modification of financial or numerical data to account for changes or for better comparison, often used in accounting and finance.

Explained Variation

The portion of the total variation in a dataset that is accounted for by the model's predictor variables.

Independent Variables

Variables in a statistical or mathematical model that are manipulated or have their values set externally to observe or measure their effect on dependent variables.