When the price of the product falls
A. consumer’s surplus remains the same.
B. producers’ surplus increases.
C. consumer’s surplus falls.
D. producer’s surplus falls.
Answer: D
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A person keeps $500 in his home in order to be prepared for some unforeseen future event. This reflects his
A) speculative demand for money. B) asset demand for money. C) liquidity demand for money. D) precautionary demand for money.
Which of the following best describes the entire U. S. refreshment beverage market?
A) monopoly B) oligopoly C) monopolistic competition D) perfect competition
Which of the following explains why elected representatives will find borrowing to be an attractive method of financing current government programs?
What will be an ideal response?
You are struggling to pick a major and find psychology and economics equally attractive but you cannot make up your mind. Then your parents suggest that, given your SAT scores you might want to consider mathematics. Before long you have no problem settling in on economics as your choice. This is an example of
A. bounded rationality. B. anchoring and adjusting. C. the halo effect. D. availability.