Farmers can choose to produce eggs or milk. If there is an increase in the price of milk then what will be the effect in the egg market?
A. The quantity of eggs demanded will increase.
B. Egg demand will decrease.
C. Egg supply will increase.
D. Egg supply will decrease.
Answer: D
You might also like to view...
The capital deepening model developed by Robert Solow shows the links among which three items?
What will be an ideal response?
Spending on new housing, which economists refer to as residential fixed investment, is included in the consumption expenditures component of GDP
Indicate whether the statement is true or false
________ is a group of firms that have colluded to limit their output and raise their price
A) A cartel B) An oligopoly C) A strategy D) A duopoly
When bidders values of an item in an auction are correlated, buyers of an item will ________ their bids and sellers will ________ their bids to avoid the winner's curse.
A) raise; raise B) raise; lower C) lower; lower D) lower; raise