Suppose that demand for a good increases and, at the same time, supply of the good decreases. What would happen in the market for the good?
举一反三
- Good A and good B are substitutes in production. The demand for good A decreases, which lowers the price of good A. The decrease in the price of good A ( ) A: decreases the supply of good B: increases the supply of good C: decreases the demand for good D: increases the demand for good
- If there are very few, if any, good substitutes for good A, then (). A: supply of good A would tend to be price elastic. B: demand for good A would tend to be price inelastic. C: demand for good A would tend to be price elastic. D: demand for good A would tend to be income elastic.
- Suppose the number of buyers in a market increases and a technological advancement occurs also. What would we expect to happen in the market?
- When a tax is imposed on a good, the A: supply curve for the good always shifts. B: demand curve for the good always shifts. C: amount of the good that buyers are willing to buy at each price always remains unchanged. D: equilibrium quantity of the good always decreases.
- Which of the following would cause price to decrease? A: a decrease in supply B: an increase in demand C: a surplus of the good D: a shortage of the good