Multiple Choice
Assume that corn and wheat are substitutes in production; that is, the same inputs can be used to produce either one of these two commodities. Also assume that the laws of supply and demand apply in both markets. If the demand for one of these commodities increases, what will likely happen in the other market?
A) The demand will increase.
B) The demand will decrease.
C) The supply will increase.
D) The supply will decrease.
Correct Answer:
Verified
Correct Answer:
Verified
Q17: Assume that the demand for a
Q18: Which of the following is not a
Q19: Assume that the demand is represented
Q20: In a perfectly competitive market no individual
Q21: A positive excess demand can only be
Q23: Market equilibrium tends to persist in time
Q24: Which of the following is correct about
Q25: If both supply and demand increase at
Q26: How is a Danish auction conducted?<br>A) Starts
Q27: When costs of production of a product