Which of the following would not cause the market supply of cell phones to change?
A.) Telecommunications are deregulated, and anyone can produce and sell cell phones.
B.) A cheaper technology for producing cell phones is developed.
C.) A reduction in the demand for cell phones causes the price to fall.
D.) Taxes levied on cell phone production are reduced.
C.) A reduction in the demand for cell phones causes the price to fall.
You might also like to view...
"A bank can only use its excess reserves to make loans, while required reserves can only be used to buy U.S. government securities." Explain whether the previous statement is correct or incorrect
What will be an ideal response?
In the above figure, if the natural monopoly is regulated using a marginal cost pricing rule, then the firm will
A) produce 8 million units and make an economic profit of $24 million. B) produce 12 million units and make zero economic profit. C) produce 16 million units and incur an economic loss of $64 million. D) produce 16 million units and make zero economic profit.
Hyperinflation is a period of time when
a. people "hoard" their money. b. the price level explodes and the money supply decreases. c. both the price level and taxes explode. d. inflation is greater than 1,000%. e. the price level rises faster than the money supply.
In repeated games:
A. a noncooperative outcome is more likely than in a single-round game. B. cooperation never happens. C. a cooperative outcome is more likely than in a single-round game. D. players always cooperate and enjoy a mutually beneficial equilibrium.