Homework Answers
The correct answer is 'Option D'.
A decrease in the price of woolen shirts and a decrease in the price of raw cotton will definitely lead to a fall in the equilibrium price of cotton shirts. A decrease in the price of woolen shirts will make woolen shirts relatively more cheaper than the cotton shirts due to which the demand of cotton shirts will fall. A decrease in the price of raw cotton will reduce the cost of production of cotton shirts as a result of which the supply of cotton shirts will increase. There is an increase in supply and a fall in demand of cotton shirts due to which the sellers will reduce the price of cotton shirts to attract more buyers. So, a decrease in the price of woolen shirts and a decrease in the price of raw cotton will cause a decrease in the equilibrium price of cotton shirts.
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QUESTION 28 Which of the following combined events would surely cause a decrease in the equilibrium...
Which of the following events would unambiguously cause an increase in the equilibrium price of cotton...
Which of the following events would unambiguously cause an increase in the equilibrium price of cotton shirts? a. an increase in the price of wool shirts and a decrease in the price of raw cotton b. a decrease in the price of wool shirts and a decrease in the price of raw cotton c. an increase in the price of wool shirts and an increase in the price of raw cotton d. a decrease in the price of wool shirts...
Question 4 (10 points) Which of the following events is expected to cause the equilibrium quantity...
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in the market for natural gas which of the following would cause an increase QUESTION 2...
in the market for natural gas which of the following would
cause an increase
QUESTION 2 In the market for natural gas, which of the following would cause an increase in equilibrium quantity combined with a decrease in equilibrium price? (Choose all that apply) An increase in the cost of equipment needed to extract natural gas. An increase in the number of producers in the industry An increase in the income of buyers of natural gas. A decrease in the...
Which of the following events would cause an increase in aggregate demand?
Which of the following events would cause an increase in aggregate demand? A. a decrease in consumption B. an increase in taxes C. a decrease in the price level D. a decrease in taxes
QUESTION 36 If the producers of cotton shirts face higher cotton prices, which of the following...
QUESTION 36 If the producers of cotton shirts face higher cotton prices, which of the following is likely to occur? The supply of cotton shirts decreases, the equilibrium price of cotton shirts rises, and the equilibrium quantity falls. The supply of cotton shirts decreases, the equilibrium price of cotton shirts rises, and the equilibrium quantity rises. The supply of cotton shirts increases, the equilibrium price of cotton shirts rises, and the equilibrium quantity falls. The supply of cotton shirts increases,...
a. Which of the following events would likely cause the decrease in aggregate demand? Personal consumption...
a. Which of the following events would likely cause the decrease
in aggregate demand?
Personal consumption falls as workers become concerned about
future employment prospects.
Imports decrease due to increased foreign prices.
Gross investment increases as capital units become fully
utilized.
b. A decrease in aggregate demand is of policy concern due to
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unemployment rate.
productivity of workers.
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c. Which policy action should the federal government enact?
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1.Given the following solutions, define if price equilibrium and quantity equilibrium increase or decrease as well...
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Which of the following would be expected to cause a decrease in the quantity supplied of...
Which of the following would be expected to cause a decrease in the quantity supplied of a certain good? 6. a. b. c. d. A decrease in the cost of materials used in producing that good An increase in the cost of materials used in producing that good A decrease in the price of the good An increase in the price of the good Suppose that at a price of $70 the quantity supplied in a market is 10 units,...
Which of the following would cause an increase in the equilibrium price and an increase in...
Which of the following would cause an increase in the equilibrium price and an increase in the equilibrium quantity of watermelons? a. a decrease in demand and an increase in supply b. an increase in demand in demand and an increase in supply c. an increase in supply and an increase in demand greater than the increase in supply d.. an increase in supply
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in the market for natural gas which of the following would
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QUESTION 2 In the market for natural gas, which of the following would cause an increase in equilibrium quantity combined with a decrease in equilibrium price? (Choose all that apply) An increase in the cost of equipment needed to extract natural gas. An increase in the number of producers in the industry An increase in the income of buyers of natural gas. A decrease in the...
QUESTION 36 If the producers of cotton shirts face higher cotton prices, which of the following is likely to occur? The supply of cotton shirts decreases, the equilibrium price of cotton shirts rises, and the equilibrium quantity falls. The supply of cotton shirts decreases, the equilibrium price of cotton shirts rises, and the equilibrium quantity rises. The supply of cotton shirts increases, the equilibrium price of cotton shirts rises, and the equilibrium quantity falls. The supply of cotton shirts increases,...
a. Which of the following events would likely cause the decrease
in aggregate demand?
Personal consumption falls as workers become concerned about
future employment prospects.
Imports decrease due to increased foreign prices.
Gross investment increases as capital units become fully
utilized.
b. A decrease in aggregate demand is of policy concern due to
the increase in the:
unemployment rate.
productivity of workers.
price level.
c. Which policy action should the federal government enact?
Increase personal income tax rates
Decrease real...
Which of the following would be expected to cause a decrease in the quantity supplied of a certain good? 6. a. b. c. d. A decrease in the cost of materials used in producing that good An increase in the cost of materials used in producing that good A decrease in the price of the good An increase in the price of the good Suppose that at a price of $70 the quantity supplied in a market is 10 units,...
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