Which of the following statements is CORRECT?
A) When demand increases, both the price and the quantity increase.
B) When demand decreases, the price rises and the quantity decreases.
C) When supply increases, the quantity decreases and the price rises.
D) When supply decreases, both the price and the quantity decrease.
A
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Employing a general equilibrium approach, describe the effect of a new law that prohibits steel imports
What will be an ideal response?
In macroeconomics, the vertical axis in a supply-demand model measures the price level rather than a particular product’s price.
Answer the following statement true (T) or false (F)
Refer to the graph shown. If a competitive industry producing hamburgers is taken over by a pure monopoly firm that maximizes profit:
A. price will remain at $4 but output will fall by 100. B. price will rise to $6 and output will fall by 100. C. price will remain at $6 but output will fall by 100. D. output will remain at 100 but price will rise to $6.
Price discrimination may occur in monopoly.
a. true b. false