Sometimes price cuts can have an unintended result of consumers waiting for deeper discounts. What does this waiting suggest about supply and demand?
A. If buyers are buying less when price falls, the supply curve must have moved left.
B. Price cuts have changed buyers' expectations, and the change in expectations has moved the demand curve left.
C. The demand curve slopes the wrong way because price cuts have lead to smaller sales.
D. If buyers are buying less when price falls, the supply curve must have moved right.
Answer: B
You might also like to view...
If the Fed set and achieved a goal of zero unemployment,
A) the inflation rate would increase. B) real GDP would equal potential GDP. C) they would have an easier time achieving the goal of price stability. D) the natural rate of unemployment would be negative.
A good with an income elasticity of 2.3 is:
A. a luxury. B. inferior. C. a necessity. D. a complement.
Unionism is much more prevalent in the United States than in other industrialized countries
a. True b. False Indicate whether the statement is true or false
Refer to the information provided in Table 3.1 below to answer the question(s) that follow. Table 3.1Price per PizzaQuantity Demanded (Pizzas per Month)Quantity Supplied (Pizzas per Month)$31,200 600 61,000 700 9 800 80012 600 90015 4001,000Refer to Table 3.1. In this market there will be an excess supply of 300 pizzas at a price of
A. $6. B. $9. C. $12. D. $15.