According to the graph shown, if the price were $15, a:
A. shortage would exist, signaling sellers to raise their price.
B. shortage would exist, signaling buyers to leave the market.
C. surplus would exist, signaling sellers to drop their price.
D. surplus would exist, signaling buyers to bid up the price.
AACSB: Analytical Thinking
C. surplus would exist, signaling sellers to drop their price.
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Refer to the above figure. The firm's short-run shutdown price is
A) at $1. B) at $2. C) at $4. D) above $4.
The most significant expansion of Medicaid since its inception occurred in 1997 and is referred to as
a. SCHIP. b. SHIP. c. TANF. d. AFDC.
An advantage to a developing nation of fixed exchange rates is that it's:
A) easier for the central bank to print money to finance its deficit. B) harder for the central bank to print money to finance its deficit. C) easier to conduct fiscal policy. D) harder for the government to raise taxes.
A reduction in production costs will not result in which of the following?
A. rightward shift of the supply curve. B. increase in supply. C. greater willingness and ability of producers to supply a larger quantity at any given price. D. greater willingness and ability of consumers to demand a larger quantity at any given price.