Assuming that resources are specialized, the opportunity cost of an item increases as production of it rises. Therefore, we expect that firms will produce more if
a. the price increases.
b. the price decreases.
c. the opportunity cost is greater than the price.
d. government asks firms to produce more.
e. the income of buyers increases.
a
Economics
You might also like to view...
What are the three most important variables that cause the market supply curve of labor to shift?
What will be an ideal response?
Economics
If Congress fails to pass a budget before the fiscal year starts, then federal agencies may continue to operate only if Congress has passed a:
a. balanced budget amendment. b. deficit reduction plan. c. conference resolution. d. continuing resolution.
Economics