Author Question: Something will be rare but not scarce if very little of it exists and A) its price is high enough ... (Read 41 times)

mrsjacobs44 · **on:** Jun 29, 2018

Something will be rare but not scarce if very little of it exists and

A) its price is high enough that only a few wish to purchase it.
B) its price is high enough that no one can afford it.
C) no one wants any.
D) the quantity supplied is greater than the quantity demanded.

Question 2

Refer to the table above. Assume that the market for notebooks is in equilibrium. Which of the following is likely to happen if a few sellers of notebooks decide to exit the market, everything else remaining unchanged?

A) Both the equilibrium price and quantity of notebooks remain unchanged.
B) Both the equilibrium price and quantity of notebooks decrease.
C) The equilibrium price of notebooks increases, but the equilibrium quantity decreases.
D) The equilibrium price of notebooks decreases, but the equilibrium quantity increases.