Which of the Following Statements About the Consumers' Responses to Rising

Multiple Choice

Which of the following statements about the consumers' responses to rising gasoline prices is correct?

A) About 10 percent of the long-run reduction in quantity demanded arises because people drive less and about 90 percent arises because they switch to more fuel-efficient cars.
B) About 90 percent of the long-run reduction in quantity demanded arises because people drive less and about 10 percent arises because they switch to more fuel-efficient cars.
C) About half of the long-run reduction in quantity demanded arises because people drive less and about half arises because they switch to more fuel-efficient cars.
D) Because gasoline is a necessity,consumers do not decrease their quantity demanded in either the short run or the long run.