If the market for a good is initially in equilibrium and there is a rightward shift of the demand curve, then
a. the equilibrium price will fall
b. there will be a rightward movement along the supply curve
c. the supply curve will also shift to the right
d. the supply curve will shift to the left
e. the demand curve will shift back as consumers react to the higher equilibrium price
B
You might also like to view...
Explain the supply and demand of products, factors of production, and the payments for the products and factors of production as described in the circular flow diagram
What will be an ideal response?
If a meat packing plant has 30 employees and each employee has a 1 in 90 chance of getting injured on the job, then on average, one employee will get injured on the job every
A) 120 days. B) 1 year. C) 3 years. D) 9 years.
What is a public franchise? Are all public franchises natural monopolies?
What will be an ideal response?
If price elasticity of supply is less than 1
A) supply is elastic. B) demand is elastic. C) demand is inelastic. D) supply is inelastic.