The prices of certain goods, such as ice and gasoline, often increase after a natural disaster such as a hurricane. The economic explanation for this observation is that
A. disasters bring out the worst in people.
B. the disaster temporarily reduces the supply of the goods and reduces the demand for the goods.
C. the disaster temporarily reduces the supply of the goods and increases the demand for the goods.
D. people panic in disaster situations.
Answer: C
You might also like to view...
The table above shows
A) a total product schedule. B) the market for labor. C) a production possibility frontier. D) a supply schedule. E) a demand for labor schedule.
The U.S.'s high trade deficit must be balanced by:
A. net capital inflows. B. high net capital outflows. C. low net capital outflows. D. None of these statements is true.
A flat tax would increase the possibilities of abuses and misrepresentations that go with tax deductions
a. True b. False Indicate whether the statement is true or false
The trade feedback effect refers to the tendency for an increase in the economic activity in one country to lead to a worldwide in economic activity, which then feeds back to the first country.
Answer the following statement true (T) or false (F)