As the market price of a service increases, more potential sellers will decide to perform that service because:

A. more potential sellers will find that the market price exceeds their reservation price.
B. higher prices result in higher revenue.
C. it's more prestigious to produce high-priced services.
D. higher prices lead to lower opportunity costs.

Answer: A

Economics

You might also like to view...

The assumption that "other things are constant" is also known as the

A) ceteris paribus assumption. B) rational self-interest assumption. C) distinguishing characteristic of economics as a science. D) relationships assumption.

Economics

A price ceiling set above the equilibrium price is not binding

a. True b. False Indicate whether the statement is true or false

Economics