If a freeze destroys oranges before they are harvested, the equilibrium price of an orange ________ and the equilibrium quantity ________
A) rises; increases
B) rises; decreases
C) falls; increases
D) falls; decreases
E) does not change; decreases
B) rises; decreases
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Starting from long-run equilibrium, a decrease in autonomous investment results in ________ output in the short run and ________ output in the long run.
A. lower; potential B. higher; higher C. higher; potential D. lower; higher
Suppose an increase in price decreases quantity demanded from 210 to 190. Using the mid-point formula, the percentage change in quantity demanded is:
A. 2 = 200 percent. B. 0.2 = 20 percent. C. 0.2 = 20 percent. D. 0.1 = 10 percent
Housing prices peaked in:
a. 1997. b. 2000. c. 2003. d. 2006.
Exhibit 5-9 Supply and Demand Curves for Good X
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As shown in Exhibit 5-9, the $200 per unit tax on Good X raises tax revenue per time period totaling:
A. $10,000. B. $20,000. C. $30,000. D. $60,000.