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In a Free Market, If the Price of a Good

Question 71

Multiple Choice

In a free market, if the price of a good is below the equilibrium price, then;


A) the government will set a higher price to reestablish the market equilibrium.
B) sellers, dissatisfied with growing inventories, will raise their prices.
C) buyers, hoping to ensure they acquire the good, will bid the price higher.
D) sellers, dissatisfied with growing inventories, will lower their prices.

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