Other things equal, a fall in the market price caused by a change in supply will
What will be an ideal response?
increase consumer surplus.
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Hammacher Schlemmer Hammacher Schlemmer is a chain of retail stores famous for introducing a steady flow of innovative new products to customers. When it negotiates for a new product, it often requires that it will get the exclusive rights to retail it for a year or two. Why is it advantageous to the supply chain for there to be an exclusive dealer and why for only a few years?
A tight monetary policy does all of the following, except
A. raise interest rates. B. drive up the dollar relative to foreign currencies. C. raise net exports. D. increase imports.
In an open economy,[C + I + G + EX - IM] equals
A. unplanned inventories. B. aggregate supply. C. the balance of trade. D. planned aggregate expenditures.
If the estimated elasticity of supply coefficient equals 0.85, then: a. the supply curve is vertical
b. the demand curve is horizontal. c. supply is unit elastic. d. supply is relatively inelastic.