Microeconomics Tutorial 3 by Himal muthunayake https://padlet.com/himalmuthunayakesh/k4our0f51avi7gxp Made with serendipity en-us 2021-07-07 05:16:37 UTC 2021-07-08 08:09:37 UTC hello@padlet.com If the price heating oil rises from $1.80 to 2.20$ per gallon and quantity of heating oil demand in short run fall the quntity demand and long run was decrese the quntity of demand than the short run .The percentage change in price is equal to(2.20 – 1.80) / 2.00 = 0.2 = 20%.If the price elasticity of demand is 0.2, quantity demanded will fall by 4% in the short run[0.20 x 0.20]If the price elasticity of demand is 0.7, quantity demanded will fall by 14% in the long run [0.7 x 0.2]b https://padlet.com/himalmuthunayakesh/k4our0f51avi7gxp/wish/1641639898 b. because this oil is is fully inelastic demand also ]]> 2021-07-08 07:59:16 UTC https://padlet.com/himalmuthunayakesh/k4our0f51avi7gxp/wish/1641639898 https://padlet.com/himalmuthunayakesh/k4our0f51avi7gxp/wish/1641640921 price increase in oil in $1.80 to $2.20 then demand of oil demand will decrease low percentage. because short term oil elasticity of demand has inelasticity demand]]> 2021-07-08 08:00:39 UTC https://padlet.com/himalmuthunayakesh/k4our0f51avi7gxp/wish/1641640921 If the prise https://padlet.com/himalmuthunayakesh/k4our0f51avi7gxp/wish/1641641040 2021-07-08 08:00:47 UTC https://padlet.com/himalmuthunayakesh/k4our0f51avi7gxp/wish/1641641040 https://padlet.com/himalmuthunayakesh/k4our0f51avi7gxp/wish/1641641113 If price is increased the quantity will definitely go down according to this percentage change of price is approximately 22%, in short run the ed is 0.2 and ]]> 2021-07-08 08:00:52 UTC https://padlet.com/himalmuthunayakesh/k4our0f51avi7gxp/wish/1641641113 https://padlet.com/himalmuthunayakesh/k4our0f51avi7gxp/wish/1641641556 If the price heating oil rises but demand for oil short run fall. because there is an enlascity demad..although the price has been high for a long time demand is not slow..but oil is ]]> 2021-07-08 08:01:25 UTC https://padlet.com/himalmuthunayakesh/k4our0f51avi7gxp/wish/1641641556 https://padlet.com/himalmuthunayakesh/k4our0f51avi7gxp/wish/1641644045 Consumer can adjust thier homes by purchasing alternative heat source in long run. For example natural gas. They respond more change in the price of heating oil in the long run than in the short run.]]> 2021-07-08 08:04:20 UTC https://padlet.com/himalmuthunayakesh/k4our0f51avi7gxp/wish/1641644045 We have inelastic demand for oil price. Because oil is a essentials good. As well as oil have not closly subsitute. https://padlet.com/himalmuthunayakesh/k4our0f51avi7gxp/wish/1641644570 2021-07-08 08:04:55 UTC https://padlet.com/himalmuthunayakesh/k4our0f51avi7gxp/wish/1641644570 silvahbbm19440 https://padlet.com/himalmuthunayakesh/k4our0f51avi7gxp/wish/1641645604 In the short run PED is0.2, the quantity demanded will fall by 4%. In the long run PED is 0.7 quantity demanded will fall by 14%. ]]> 2021-07-08 08:06:11 UTC https://padlet.com/himalmuthunayakesh/k4our0f51avi7gxp/wish/1641645604 https://padlet.com/himalmuthunayakesh/k4our0f51avi7gxp/wish/1641647074 if the price is 1.80 to 2.20 in the short time ,when ed=0.2 we cant increase /decrease  quantity ,but in the long time when 0.7 we can increase /decrease the quantity surely .]]> 2021-07-08 08:07:54 UTC https://padlet.com/himalmuthunayakesh/k4our0f51avi7gxp/wish/1641647074 https://padlet.com/himalmuthunayakesh/k4our0f51avi7gxp/wish/1641647995 With the price rises of heating oil, in the long run heating oil's quantity demanded is more than short run heating oils' quantity demanded.
Short run QD - 0.44
Long run QD - 1.54 
It means quantity demanded reduce in the short run and quantity demanded rises in the  long run.
It is an essential comodity thats why.And otherwise they consider future inventions as substitutes instead of heating oil, then their responsiveness to the heating oil in short run they reduced comparing the long run. So they will reduce the short run heating oil quantity demanded.After that they will haven't no any substitutes instead of heating oil they increase their Qd.]]> 2021-07-08 08:08:59 UTC https://padlet.com/himalmuthunayakesh/k4our0f51avi7gxp/wish/1641647995