Which of the following examples would cause the equilibrium quantity to decrease?
a. The demand for picture frames increased as the supply of this product also increased.
b. The supply of pens increased as the demand for this product decreased at the same rate.
c. Although the demand for CDs decreased, the supply of this product increased more.
d. Although the supply of bow ties increased, the demand for this product decreased more.
d. Although the supply of bow ties increased, the demand for this product decreased more.
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Which of the following will shift the supply curve for USB flash drives to the right?
A. an increase in the number of sellers B. an increase in consumers' incomes C. an increase in the cost of resources used to manufacture USB flash drives D. an increase in the number of buyers
As output increases, marginal cost will eventually
A) increase because of the law of increasing returns. B) increase because of the law of diminishing returns. C) decrease because of the law of diminishing returns. D) decrease because of the law of increasing returns.
Fill in the above table.
What potential problem is there with rate of return pricing?
What will be an ideal response?