When there is a shortage of a product in a market the:
A. price will fall.
B. price must be below the equilibrium price.
C. price must be above the equilibrium price.
D. producers will reduce output and sales will fall.
Answer: B
Economics
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A price-discriminating monopolist will equate
A) price and marginal cost in each market. B) price and marginal revenue in each market. C) marginal revenue and marginal cost in each market. D) average revenue and marginal revenue in each market.
Economics
Why aren’t the tools of product market analysis directly applicable to the resource market?
What will be an ideal response?
Economics