This topic contains a solution. Click here to go to the answer

Author Question: A country operates inside its production possibilities curve; this may be caused by A) unemployed ... (Read 86 times)

Hungry!

  • Hero Member
  • *****
  • Posts: 1,071
A country operates inside its production possibilities curve; this may be caused by
 
  A) unemployed resources.
  B) total efficiency in industry.
  C) a new resource being discovered.
  D) a lack of modern products being produced.

Question 2

Suppose that initially a market is in equilibrium at a price of 10 and a quantity of 5000 units per day. Several months later, the market is in a new equilibrium at a price of 5 and a quantity of 5000 units per day. What happened in the market?
 
  What will be an ideal response?



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

elizabethrperez

  • Sr. Member
  • ****
  • Posts: 344
Answer to Question 1

A

Answer to Question 2

For price to fall, either demand had to decrease or supply had to increase, or both. If demand decreased while supply remained constant, the quantity would have decreased too, and if supply increased while demand remained constant, the quantity sold would have increased. Therefore, both demand decreased and supply increased in such a way that the quantity did not change.




Hungry!

  • Member
  • Posts: 1,071
Reply 2 on: Jun 29, 2018
YES! Correct, THANKS for helping me on my review


laurnthompson

  • Member
  • Posts: 334
Reply 3 on: Yesterday
Excellent

 

Did you know?

Oliver Wendell Holmes is credited with introducing the words "anesthesia" and "anesthetic" into the English language in 1846.

Did you know?

It is widely believed that giving a daily oral dose of aspirin to heart attack patients improves their chances of survival because the aspirin blocks the formation of new blood clots.

Did you know?

The eye muscles are the most active muscles in the whole body. The external muscles that move the eyes are the strongest muscles in the human body for the job they have to do. They are 100 times more powerful than they need to be.

Did you know?

The Babylonians wrote numbers in a system that used 60 as the base value rather than the number 10. They did not have a symbol for "zero."

Did you know?

Blastomycosis is often misdiagnosed, resulting in tragic outcomes. It is caused by a fungus living in moist soil, in wooded areas of the United States and Canada. If inhaled, the fungus can cause mild breathing problems that may worsen and cause serious illness and even death.

For a complete list of videos, visit our video library