PriceQuantity DemandedQuantity Supplied$02000$115040$210080$350120$40160 Refer to the table. If the current price in this market is $3 then there is
A. excess demand and pressure on the price to fall.
B. excess supply and pressure on the price to fall.
C. excess demand and pressure on the price to rise.
D. excess supply and pressure on the price to rise.
Answer: B
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Equilibrium in a competitive market results in the greatest amount of economic surplus from the production of a good or service
Indicate whether the statement is true or false
Which of the following people is most likely to be structurally unemployed?
a. Brendan left his job as a short-order cook in New Jersey to become a short-order cook in Madrid, New Mexico. He was unemployed for six weeks during the transition. b. Mildred quit her job after giving birth to a child. c. Clem, a skilled corset maker, lost his job when his factory shut down due to a permanent reduction in the demand for corsets. d. Danielle lost her job when the electronics assembly plant was shut down temporarily due to low product sales in a slumping economy.
Costs that a firm remaining in business will still incur even if it halts current production are called
a. fixed costs. b. variable costs. c. implicit costs. d. explicit costs.
The liquidity trap is the
A) vertical portion of the demand curve for money. B) horizontal portion of the demand curve for money. C) vertical portion of the supply curve of money. D) horizontal portion of the supply curve of money. E) vertical portion of the demand curve for investment.