For a perfectly competitive firm, any price below its minimum AVC is a

As the price of milk increases, what happens at the original equilibrium in the market for cereal that signals market participants that the original equilibrium must change? (Milk and cereal are complements.)

A) A surplus is created by an increase in supply. B) A surplus is created by a decrease in demand. C) A shortage is created by an increase in demand. D) A shortage is created by a decrease in supply.

A decrease in the current minimum wage would: a. decrease employment for low skill workers

b. increase firm's demand curves for low skill workers. c. increase the supply of low skill workers. d. decrease the incomes of some low skill workers.