If the market price is below the equilibrium price ?

Related Mcqs:

Suppose a frost destroys much of the Florida orange crop. At the same time, suppose consumer tastes shift toward orange juice, What would we expect to happen to the equilibrium price and quantity in the market for orange juice ?

A. price will decrease, quantity is ambiguous B. The impact on both price and quantity is ambiguous. C. Price will increase, quantity will increase D. price will increase, quantity will decrease E. price will increase, quantity is ambiguous....

Nationalisation occurs when ?

A. The government sells assets to a the private sector B. The government bans a product C. The government takes control of an industry D. The government taxes a product to a raise its price...

An allocation is Pareto-efficient if no reallocation of resources would make some people _______ without making others ________?

A. worse off; worse off B. better off; better off C. better off; worse off D. equal, unequal...

Income inequality can be high in the free market and should be reduced This is an example of What ?

A. Judicial economic statement B. Positive economic statement C. Formative economic statement D. Normative economic statement...

When a market is contestable, incumbent firms must __________ to avoid the entry of new competitors?

A. behave like competitive firms B. agree to act together C. differentiate their products D. practice price discrimination...