When the market generates an equilibrium price, we know that
a. the quantity demanded is higher than the quantity demanded associated with a market that is not in equilibrium
b. excess demand and excess supply are zero
c. increases in quantity demanded are matched by increases in quantity supplied
d. it is the most profitable price for suppliers
e. all demanders who want the good will get it
B
You might also like to view...
If a tax increase of $8 billion caused real GDP to decline by $32 billion, then the economy's MPC is
A. 0.5. B. 0.9. C. 0.6. D. 0.8.
Of the following, which good has the most elastic demand?
A) food B) breakfast food C) cereal D) Post Raisin Bran E) Post Raisin Brand purchased at a Safeway grocery store
Lizzie's preferences are shown in the figure above. Lizzie definitely prefers consuming ________ to consuming ________
A) 1 comic book and 12 cookies; 4 comic books and 4 cookies B) 2 comic books and 12 cookies; 4 comic books and 8 cookies C) 4 comic books and 12 cookies; 2 comic books and 12 cookies D) 6 comic books and 12 cookies; 8 comic books and 16 cookies
In the figure above, the difference in wage rate between low-skilled and high-skilled labor is
A) $16. B) $8. C) $20. D) $28.