If the demand for the finished good is elastic, the demand for the resources used to produce that good will be inelastic

In the above figure, by increasing its output from Q1 to Q2, the firm

A) reduces its marginal revenue. B) increases its marginal revenue. C) decreases its profit. D) increases its profit.

If both the demand for a product and the supply of it increase, then the equilibrium quantity will ________ and the equilibrium price will ________.

A) decrease; increase B) decrease; decrease C) decrease; remain constant D) increase; either increase, decrease, or remain constant