The current price per share of the XYZ company, which is traded on the New York Stock Exchange, is $100. At that price, the total quantity of shares demanded is 1,000 and the total quantity supplied for trade is 1,500. It follows that
a. $100 is the equilibrium price per share.
b. there will be downward pressure on the price of shares of the XYZ company.
c. there will be upward pressure on the price of shares of the XYZ company.
d. there is a shortage of shares of the XYZ company on the stock exchange.
b. there will be downward pressure on the price of shares of the XYZ company.
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Critics argue that U.S. industrial policy: a. currently focuses only on developing the airlines industry
b. discourages spending on basic research in universities. c. should shift from a military to a civilian focus. d. gives foreign industries an advantage over domestic producers. e. provides too much protection to domestic industries.
A nation should specialize in the good for which it has an absolute advantage
Indicate whether the statement is true or false
__________: Is a loss in value within a structure due to changes in tastes, preferences, technical innovations, or market standards.
Fill in the blank(s) with the appropriate word(s).
In September 2005, destruction to U.S. gasoline refineries was caused by back-to-back storms along the U.S. Gulf Coast—Hurricane Katrina and Hurricane Rita. In one week, the average price of a gallon of gasoline in the United States increased by about
40 cents. Which of the following best explains why these events pushed up the price of gasoline? A) The demand curve for gasoline shifted to the left along the supply curve for gasoline. B) The supply curve for gasoline shifted to the left along the demand curve for gasoline. C) The demand curve for gasoline shifted to the right along the supply curve for gasoline. D) The supply curve for gasoline shifted to the right along the demand curve for gasoline.