Solved

In the Market for Bananas, the Price Is $2

Question 248

Multiple Choice

In the market for bananas, the price is $2.00 a bunch. An increase in the supply of bananas decreases the price of bananas and


A) the quantity supplied increases because the price falls.
B) increases the demand for bananas.
C) increases the quantity of bananas demanded.
D) creates a shortage of bananas.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q243: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8586/.jpg" alt=" -The equilibrium quantity

Q244: The "law of supply" refers to the

Q245: What is the effect on the price

Q246: What is the effect on the price

Q247: Soft drinks are a normal good. Draw

Q249: The Market for Wapanzo Beans<br><img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8586/.jpg" alt="The

Q250: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8586/.jpg" alt=" -The above figure

Q251: The price of a tomato increases and

Q252: Gruel is an inferior good. Hence, a

Q253: The relative price of a good is