read the article that you find at the link http://bit.ly/2Nf880f and then answer
ID: 1137564 • Letter: R
Question
read the article that you find at the link
http://bit.ly/2Nf880f
and then answer the following questions.
Suppose the government implements the proposed policy. Some consumers may respond by choosing to live closer to public transport hubs. If so, this is an example of why: A. The elasticity of demand is often lower in the long-run than the short-run B. The elasticity of supply is often lower in the long-run than the short-run C. The elasticity of demand is often higher in the long-run than the short-run D. The elasticity of supply is often higher in the long-run than the short-runExplanation / Answer
A. The elasticity of demand is often lower in the long-run than the short-run.
When Australian govt. impose a tax on polluting cars, those cars will become expensive and people will either reduce consumption or search for other substitutes. Hence people may decide to live near transport hubs to reduce travel time.
Again in the long run better cars with energy efficiency may be produced at lesser costs and people can use them.
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.