In the figure above, suppose the price of a pound of pecans is negatively related to the quantity of peanuts that farmers are willing to supply. If the price of pecans increases,
A) the curve will shift rightward.
B) the curve will shift leftward.
C) there is a movement along the curve.
D) the curve will be unaffected.
E) None of the above answers is correct because the graph assumes that the price of pecans does not change.
B
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Refer to Figure 18-2. If the government imposes an excise tax of $1.00 on every unit sold, the producer's burden of the tax
A) is Pa - Pd under either supply curve. B) is Pa - Pd if the supply curve is S0 and Pb - Pe if the supply curve is S1. C) is Pc - Pd if the supply curve is S0 and Pc - Pe if the supply curve is S1. D) is Pb - Pe under either supply curve.
If someone told you that France's government budget was similar to the U.S. budget, you would know that the highest category of government spending in France is for
a. national security b. net interest payments on the national debt c. income support, Social Security, and welfare d. veterans' benefits e. transportation
If the government were to intervene and set the price of a dozen eggs above the market price, then we would expect, relative to the market outcome,
a. an increase in the number of eggs people want to buy and an increase in the number of eggs farmers want to sell. b. an increase in the number of eggs people want to buy and a decrease in the number of eggs farmers want to sell. c. a decrease in the number of eggs people want to buy and an increase in the number of eggs farmers want to sell. d. a decrease in the number of eggs people want to buy and a decrease in the number of eggs farmers want to sell.
Suppose that college professors at public universities are unionized. If public university college professors change their minds and vote not to be unionized, the quantity of public university college professors demanded will
a. rise. The supply of workers in other similar professions will also rise. b. rise. The supply of workers in other similar professions will fall. c. fall. The supply of workers in other similar professions will rise. d. fall. The supply of workers in other similar professions will also fall.