According to the graph shown, if the price were $5 a:

A. shortage would exist, signaling buyers to bid up the price.
B. surplus would exist, signaling sellers to drop their price.
C. surplus would exist, signaling buyers to bid up the price.
D. shortage would exist, signaling sellers to leave the market.


Answer: A

Economics

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Explain the two stabilization policies politicians use to smooth business cycles

Please provide the best answer for the statement.

Economics