Suppose there are six bait and tackle shops that sell worms in a lakeside resort town in Minnesota. If we add the respective quantities that each shop would produce and sell at each of the six bait and tackle shops when the price of worms is $2 per bucket, $2.50 per bucket, and $3 per bucket, and so forth, we have found the
a. market demand curve.
b. market supply curve.
c. equilibrium curve.
d. surplus or shortage depending on market conditions.
b
You might also like to view...
When Janet Yellen, Chair of the Federal Reserve, addresses Congress regarding the United States role in the world economy, she is discussing
A) a macroeconomic topic. B) a microeconomic topic. C) scarcity. D) incentives.
An decrease in the real interest rate will cause an increase in ________
A) consumption B) planned investment C) net exports D) all of the above E) none of the above
Marginal productivity theory would suggest that
A) all workers should be paid the same wage. B) higher productivity will increase the market wage of an individual. C) labor demand will have no impact on the wage paid. D) workers cannot do anything to improve their wage prospects for the future.
Investment diversion is considered an obstacle to economic growth because:
a. it would be better to increase the mortality rate of the country, and thus have a higher per capita real GDP. b. investment in health care is highly appreciated by the international community. c. capital infrastructure automatically eliminates population problems. d. the investments in health care affect only the poorest, the least productive inhabitants of a country. e. there is no way for a country to build its industries without an increase in investment on infrastructure.