## Suppose the price elasticity of demand for heating oil is 0.20 in the short run

Question: Suppose that the price elasticity of demand for heating oil is -0.2 in the short run and -0.7 in the long run. If the price of heating oil rises from $0.45 to$0.55 per liter, what

## Suppose the price elasticity of demand for heating oil is 0.2 in the short run of demand is 0.2, quantity demanded will fall by 4% in the short run [0.20 × 0.20].

If the price of heating oil rises from $1.80 to$2.20 per gallon, what happens to the quantity of heating oil demanded in the short run? In the long run? (Use the  19 Sep 2018 Suppose the price elasticity of demand for heating oil is 0.2 in the short run and 0.7 in the long run. The change issmaller in the long run because people can respond less easily to the change in the \frac{0.20}{1.90} * 100. In the long run? (Use the midpoint method in your calculations.) b. Why might this elasticity depend on the time horizon? Answer. a) change in demand in short run

Problems and Applications Q3 Suppose the price elasticity of demand for heating oil is 0.1 in the short run and 0.9 in the long run. If the price of heating oil rises from $1.20 to SI.80 per gallon, the quantity of heating oil demanded will _____ by % in the short run and by % in the long run. Problems and Applications 3. Suppose the price elasticity of demand for heating oil is 0.2 in the short run and 0.7 in the long run. a) If the price of heating oil rises from$1.80 to $2.20 per gallon, what happens to the quantity of heating oil demanded in the short run? In the long run? (use the midpoint method in your calculations.) 8. Suppose the price elasticity of demand for heating oil is 0.2 in the short run and 0.7 in the long run. a. If the price of heating oil rises from$1.80 to \$2.20 per gallon, what happens to the quantity of heating oil demanded in the short run?