When the current price of a good is below the equilibrium price:

A. sellers will notice their inventories are growing.
B. there will be excess supply.
C. the price will tend to stay below the equilibrium price.
D. buyers have an incentive to offer to pay sellers more than the current price.


Answer: D

Economics

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A) $30,000 B) $70,000 C) $100,000 D) $210,000

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If Americans demand goods produced in Mexico, it leads to a demand for Mexican pesos and a supply of U.S. dollars on the foreign exchange market.

Answer the following statement true (T) or false (F)

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Which of the following statements is TRUE about the price that a monopolist charges?

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Government health and safety regulations or anti-discrimination laws can reduce real wages by:

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