Answer
False
Explanation:
The elasticity of supply, or the responsiveness of quantity supplied to changes in price, is greater over longer time periods. This is because firms are better able to adjust their production levels when they have more time to respond to changes in price.
In the short run, firms may have limited resources or capacity to increase their production levels in response to higher prices. For example, they may have already committed to a certain level of production or may be operating at full capacity. In this case, the firm may not be able to increase production even if prices rise.
However, over a longer time period, firms can make adjustments to their production processes, such as investing in new equipment or hiring more workers, to increase their capacity to produce. This allows them to respond more readily to changes in price and increase their production levels as needed.
Therefore, when the time period is longer, firms have more flexibility to adjust their production levels in response to changes in price, making supply more price elastic.
