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 83 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
Thanks for the timely response, appreciate it


cici

  • Member
  • Posts: 325
Reply 3 on: Yesterday
Gracias!

 

Did you know?

Vaccines prevent between 2.5 and 4 million deaths every year.

Did you know?

Symptoms of kidney problems include a loss of appetite, back pain (which may be sudden and intense), chills, abdominal pain, fluid retention, nausea, the urge to urinate, vomiting, and fever.

Did you know?

Complications of influenza include: bacterial pneumonia, ear and sinus infections, dehydration, and worsening of chronic conditions such as asthma, congestive heart failure, or diabetes.

Did you know?

Computer programs are available that crosscheck a new drug's possible trade name with all other trade names currently available. These programs detect dangerous similarities between names and alert the manufacturer of the drug.

Did you know?

Drug abusers experience the following scenario: The pleasure given by their drug (or drugs) of choice is so strong that it is difficult to eradicate even after years of staying away from the substances involved. Certain triggers may cause a drug abuser to relapse. Research shows that long-term drug abuse results in significant changes in brain function that persist long after an individual stops using drugs. It is most important to realize that the same is true of not just illegal substances but alcohol and tobacco as well.

For a complete list of videos, visit our video library