What happens when supply decreases and deman does not change
What will be an ideal response?
supply curve shifts left, equilibrium price increases and equilbrium quantity decreases
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Suppose that demand for portable power banks increases, and simultaneously, the supply of portable power banks increases. Which of the following would you conclude definitely will occur in the market for portable power banks?
A) The market clearing price will rise. B) The market clearing price will fall. C) The equilibrium quantity will rise. D) The equilibrium quantity will fall.
Which of the following statements is true?
A) Adult males, adult females, and teenagers all have similar rates of unemployment due to job losses. B) Almost half of the total teenage unemployment rate appears to be due to the search for the first job. C) Relative to adult males, adult females and teenagers have more frequent unemployment due to reentry and higher quit rates. D) All of the above.
According to most economists, fiscal policy is:
A. not an effective tool for fine-tuning the economy. B. always ineffective because of crowding out. C. effective only when potential output is perfectly known. D. least useful in a serious economic crisis.
A single-price monopoly is producing at an output level where marginal revenue is $15, marginal cost is $13, and price is $20. This monopoly is
A) not maximizing its profit and should decrease output to increase its profit. B) not maximizing its profit and should increase output to increase its profit. C) maximizing its profit but should shut down. D) maximizing its profit and should not shut down. E) maximizing its profit but still should decrease output to earn even more profit.