Figure 4.2 illustrates the supply and demand for t-shirts. If the actual price of t-shirts is 10, we would expect that
A) price will increase until quantity demanded equals quantity supplied.
B) demand will decrease until quantity demanded equals quantity supplied.
C) supply will increase until quantity demanded equals quantity supplied.
D) there will be no change in the price since the market is in equilibrium.
Question 2
What is the reason that all economic issues and problems occur?
A) All nations use some form of money to buy and sell goods and services.
B) People seek only their own self-interest.
C) Powerful governments are able to control production and consumption.
D) Human wants exceed the resources available to satisfy them.
E) Humans are always wasteful and inefficient in production and consumption.
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