Ceteris paribus, a decrease in the price of a good will cause the:
a. quantity demanded of the good to decrease
b. quantity supplied of the good to increase.
c. consumer surplus derived from the good to increase.
d. supply of the good to decrease.
c
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Which of the following purchases is included in gross domestic product account?
A) Purchases of bibles from a Christian bookstore B) Purchases of how-to manuals from a local hardware store C) Purchases of anti-capitalist literature from a radical, student-managed bookstore D) All of the above. E) None of the above.
If the government imposes a binding price ceiling in a market, then the producer surplus in that market will increase
a. True b. False Indicate whether the statement is true or false
The government plays no role in a market-based economy
Indicate whether the statement is true or false
Which of the following will increase the wage rate?
A) an increase in the adult population B) an increase in the retirement age C) an improvement in technology that increases the marginal product of labor D) Both answers A and B are correct.