Which of the following events must result in a higher price in the market for cigars?
a. Demand for cigars increases, and supply of cigars decreases.
b. Demand for cigars and supply of cigars both decrease.
c. Demand for cigars decreases, and supply of cigars increases.
d. Demand for cigars and supply of cigars both increase
a
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The tool that economists use to analyze the mutual interdependence of oligopolies is
A) economies of scale. B) the four-firm concentration ratio. C) game theory. D) the HHI. E) the efficient scale.
Why is it difficult to determine whether an industry is operating efficiently when there is rapid technological process underway?
What will be an ideal response?
Both competitive firms and monopolies produce at the level where marginal cost equals marginal revenue. Then, other things remaining the same, why is price lower in a competitive market than in a monopoly?
What will be an ideal response?
What does the study of the balance of international trade and finance between 1790 and 1860 help American economic historians do?
(a) Understand what the U.S. sold to the rest of the world (b) Understand what the rest of the world sold to the U.S. (c) Determine if there is a link between these international patterns and economic growth in the U.S. (d) All of the above