In microeconomic principles, how does the elasticity of demand change in the long run?

In microeconomics, the elasticity of demand refers to how responsive consumers are to changes in the price of a good or service. In the long run, demand tends to become more elastic for several reasons.

Consumers have more time to adjust their behavior in response to price changes. They can find substitutes, change their consumption habits, or even adjust their budgets more effectively. For instance, if the price of a good rises, consumers may start looking for alternatives that they were not aware of or did not consider in the short term. This increased ability to find substitutes or adjust consumption leads to a higher responsiveness to price changes.

Moreover, in the long term, consumers can also change their preferences and adapt more significantly to new market conditions, which contributes to increased elasticity. As they gain experience or more information about the market, their choices become more varied. For example, if gas prices rise, in the short term, consumers may continue driving as normal due to a commitment to certain routines. However, over time, they might start using public transportation, carpooling, or switching to more fuel-efficient vehicles, thereby making the demand for gasoline more elastic over time.

The other options suggest various alternative scenarios. The idea that it becomes less elastic would imply consumers are