When the supply curve shifts to the left and there is no change in demand:
A. the equilibrium price will fall.
B. the equilibrium price will rise.
C. the equilibrium quantity will rise.
D. the market cannot reestablish an equilibrium.
Answer: B
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Which of the following statements is true?
A) Exponential growth refers to growth by the same amount in every time period. B) To depict variables that have exponential growth, it is more convenient to use an axis with a proportional scale. C) Linear growth refers to growth by the same proportion in every time period. D) To depict variables that have exponential growth, it is more convenient to use an axis with a linear scale. Consider two countries: country A and country B. At the beginning of year 2010, the GDP per capita in both countries is $2,400. The annual growth rate of output in country A is 3%, while the annual growth rate of output in country B is 5%.
In an economy, investment is most likely to be dependent on:
A) the short-run real interest rate. B) the long-run real interest rate. C) the long-run nominal interest rate. D) the short-run nominal interest rate.
In the traditional Keynesian model, a tax cut
A) causes the C + I + G + X line to shift upward. B) causes the C + I + G + X line to shift downward. C) causes a movement along the C + I + G + X line. D) does not affect the C + I + G + X line.
In which type of contract is the agent paid per unit of output?
A) A commission based contract. B) A sharecropping contract. C) A piece rate contract. D) A contract with stock options as salary.