Assume that a perfectly competitive market is in long-run equilibrium. Suppose as a result of a health hazard associated with the industry's product, demand decreases drastically. What is the immediate result of this event?
A) The typical firm's average total cost curve shifts downward.
B) The typical firm's marginal cost curve shifts to the left.
C) The market price falls and the typical firm suffers an economic loss.
D) The market supply increases to offset the fall in demand.
Question 2
If aggregate expenditure is less than GDP, how will the economy reach macroeconomic equilibrium?
A) Inventories will decline, and GDP and employment will decline.
B) Inventories will rise, and GDP and employment will rise.
C) Inventories will decline, and GDP and employment will rise.
D) Inventories will rise, and GDP and employment will decline.
Gross Anatomy of a Long Bone
A slave market in Marrakesh, Morocco. This lithograph is from the 1800s.
Reconstruction Drawing of Trajan's Market
As a result of the pressure gradient in the following picture, what happens to transpiration?
Flexible exchange rates are supposed to prevent long-term trade deficits.
Greater Long-nosed Tree Shrew (Tupaia tana), Borneo and Sumatra.