6.Which of the following is NOT a characteristic of the long-run industry supply curve?

A)   The long-run supply curve is less elastic than the short run supply curve.

B)   The long-run supply curve is flatter than the short-run supply curve.

C)   In the long run, there will be a greater change of quantity supplied for a given price change, than in the short run.

D)   In the long run, firms in an industry can adjust their fixed costs.

7.Compared to the short-run supply curve, the long-run supply curve is:

A)   flatter.

B)   steeper sloping downward to the right.

C)   steeper sloping upward to the right.

D)   more inelastic.

8.The fact that firms can make more adjustments to production methods in the long run gives the firm:

A)   the ability to quickly adjust output.

B)   a long-run supply curve that is steeper than its short-run supply curve.

C)   a long-run supply curve that is more elastic than its short-run supply curve.

D)   the ability to adjust prices more given a small change in output.

答案和详解如下：

6.Which of the following is NOT a characteristic of the long-run industry supply curve?

A)   The long-run supply curve is less elastic than the short run supply curve.

B)   The long-run supply curve is flatter than the short-run supply curve.

C)   In the long run, there will be a greater change of quantity supplied for a given price change, than in the short run.

D)   In the long run, firms in an industry can adjust their fixed costs.

The correct answer was A)    

The long-run supply curve is more elastic and flatter than the short-run supply curve. In the long-run, firms have greater flexibility to alter production scale and methods. All of the other items in this question are true for the long-run supply curve.

7.Compared to the short-run supply curve, the long-run supply curve is:

A)   flatter.

B)   steeper sloping downward to the right.

C)   steeper sloping upward to the right.

D)   more inelastic.

The correct answer was A)

The long-run supply curve is more elastic and flatter than the short-run supply curve. In the long run, firms in an industry can adjust their production methods and scale.

8.The fact that firms can make more adjustments to production methods in the long run gives the firm:

A)   the ability to quickly adjust output.

B)   a long-run supply curve that is steeper than its short-run supply curve.

C)   a long-run supply curve that is more elastic than its short-run supply curve.

D)   the ability to adjust prices more given a small change in output.

The correct answer was C)

Firms can adjust the fixed nature of their production costs in the long run through the purchase or sale of fixed assets. Therefore, it costs less to adjust output slowly in response to a change in demand. In the long run, there will be a greater change in the quantity supplied for a given change in price. This is because in the long run firms can change their production capacity.