A decrease in supply means that the quantity supplied
A. does not fall at any price.
B. falls only at the equilibrium price.
C. falls at a few prices.
D. falls at all prices.
D. falls at all prices.
You might also like to view...
Competition is best characterized as
A) a fully regulated set of market activities. B) a fair and just set of outcomes. C) a process of bids and offers. D) a necessary evil.
The White House's deficit commission has proposed several ways for the government to reduce the federal budget deficit, including raising the retirement age for Social Security
Other things equal, raising the retirement age for Social Security would tend to ________ the supply of labor and ________ the equilibrium wage rate. A) increase; raise B) increase; lower C) decrease; raise D) decrease; lower
To promote economic efficiency, government should
A. keep all prices as low as possible. B. keep all prices high so that people will save more money. C. allow the market to set low prices for abundant goods and high prices for scarce goods. D. never interfere with firms’ price setting powers.
Assume a country experiences heavy capital outflows. What is the first round effect on the value of the domestic currency?
a. The value of the currency rises. b. The value of the currency is unaffected. c. The value of the currency falls. d. The change in the value of the currency is ambiguous.