In a competitive market, when price is below the equilibrium level, the price will be driven upward due to
a. excess supply
b. government intervention
c. competition among suppliers
d. excess demand
e. technical inefficiency
D
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Explain the difference between a nominal value and a real value
What will be an ideal response?
The ________ the Herfindahl-Hirschman Index, the ________
A) lower; more concentrated the industry B) higher; more concentrated the industry C) higher; less concentrated the industry D) lower; higher the profits earned in the industry
Which of the following equations is correct?
A) assets = liabilities ? net worth B) assets = liabilities + net worth C) liabilities = assets + net worth D) net worth = liabilities + assets
If the cross-elasticity of demand for two goods is positive, this means that the goods are:
A. normal goods. B. inferior goods. C. substitutes. D. complements.