Suppose there is a decrease in the price of corn. If corn is an input into the production of ethanol, we would expect the supply curve for ethanol to
a. shift rightward.
b. shift leftward.
c. become flatter.
d. remain unchanged.
a
You might also like to view...
Food is an example of a ________ good
A) nonrival and nonexcludable B) rival and excludable C) nonrival and excludable D) rival and nonexcludable
The basic economic problem of scarcity
A) is a problem only in developing economies. B) does not apply to the wealthy in society. C) has always existed and will continue to exist. D) will eventually disappear as technology continues to advance.
If workers demand and receive higher real wages (a successful wage push), the cost of production ________ and the short-run aggregate supply curve shifts ________
A) rises; leftward B) rises; rightward C) falls; leftward D) falls; rightward
When government inefficiencies exist
A) a country tends to grow at a slower rate. B) a country tends to grow at a faster rate. C) economic growth is not influenced. D) dead capital is usually not a problem.