One point on a market supply curve represents $4 and 100 units quantity supplied. If there are three suppliers, and at a price of $4 one of the suppliers supplies 23 units, then which of the following combinations of price and quantity supplied might hold for the other two suppliers?
A) At $4, quantity supplied could be 40 units for one supplier and 27 for the other.
B) At $4, quantity supplied could be 33 units for one supplier and 27 for the other.
C) At $4, quantity supplied could be 40 units for one supplier and 37 for the other.
D) At $4, quantity supplied could be 77 units for one supplier and 10 for the other.
E) There is not enough information to answer this question.
C
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Looking at historical evidence for the United States and other countries, which of the following are TRUE?
I. There is a correlation between the growth rate of the quantity theory of money and the growth rate of real GDP. II. There is a correlation between the growth rate of the quantity theory of money and the inflation rate. A) Only I is true. B) Only II is true. C) Both I and II are true. D) Neither I or II is true.
When a shortage exists
A) the price is below the market clearing price. B) quantity demanded exceeds quantity supplied. C) an excess quantity demanded exists. D) all of the above
A vertical line always has a slope of one.
Answer the following statement true (T) or false (F)
In a binding situation,an increase in government spending
A. shifts the AD curve to the left. B. shifts the AD curve to the right. C. causes the AD curve to become horizontal. D. does not shift the AD curve.