Refer to the above figure. Moving from point A to point B indicates
A) an increase in supply.
B) an increase in quantity supplied.
C) a decrease in supply.
D) a decrease in quantity supplied.
D
You might also like to view...
Adverse selection in the market for health insurance arises because
A) buyers of insurance know more than insurance companies about the likelihood of an illness for which buyers want insurance. B) the federal government intervenes in insurance markets by controlling prices and reimbursement policies. C) many insurance companies care more about profits than they do about providing services for their customers in the event of illness. D) insurance companies are not allowed to charge premiums that are high enough to insure against "worst-case" illness.
In an oligopoly, firms can increase their market power by
A) undertaking heavy advertising expenditure. B) colluding to set prices. C) selling to buyers who have market power. D) pursuing dominant strategies.
International trade that is not encumbered by government restrictions is called
a. free trade b. protectionist c. terms of trade d. comparative advantage trade e. absolute advantage trade
Price leadership works only if there is a single, dominant firm in the oligopoly
a. True b. False Indicate whether the statement is true or false