Suppose the price of a DVD is $15 per unit. At that price, consumers wish to purchase 6,000 units weekly and producers wish to sell 4,000 units weekly. In this situation,
a. unsatisfied consumers will bid up the market price.
b. the market price will fall because producers are unsatisfied.
c. the price will rise and the demand will fall to bring the market to equilibrium.
d. supply will increase by 2,000 units in order to satisfy consumers.
a. unsatisfied consumers will bid up the market price.
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The information in the table above gives the 2012 reference base period CPI basket and prices used to construct the CPI for a small nation. It also has the 2013 prices. What is the value of the CPI for the reference base period, 2012?
A) 140 B) 133 C) 100 D) 75
A production point that lies outside the Production Possibilities Curve (PPC)
A) denotes inefficiency. B) indicates unemployment. C) is currently not attainable. D) can never be reached, even in future periods.