Which of the following will cause a movement along the supply curve for oil?
A. government tax on oil producers in Texas
B. new technology to drill oil from existing oil wells
C. an increase in the price of oil
D. an increase in the number of oil producers
Answer: C
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Refer to Figure 6.3. On this graph, area ABC is:
A. consumer surplus. B. producer surplus. C. total surplus. D. total producer net benefit.
Explain how the labor force participation rate and the unemployment rate change in a recession
What will be an ideal response?
When diminishing marginal returns set in,
A) average product is increasing. B) average variable cost is decreasing. C) average cost is decreasing. D) None of above.
Suppose the typical consumer only purchases food and clothing, and her utility can be expressed as U = F ? C. Currently, food costs $5 per unit and clothing costs $2 per unit. Her income is $70
If the price of food increases to $6, compare the resulting Laspeyres price index with a true cost of living index.