Suppose that demand decreases and supply decreases. what would you expect to occur in the market for the good? a. equilibrium price would increase, but the impact on equilibrium quantity would be ambiguous. b. equilibrium price would decrease, but the impact on equilibrium quantity would be ambiguous. c. equilibrium quantity would decrease, but the impact on equilibrium price would be ambiguous. d. both equilibrium price and equilibrium quantity would increase.

What is the most direct result of free trade supplying productive resources to areas where they're most needed? a. enhanced efficiency b. lower interest rates c. increasing specialization d. greater competition 2b2t

Aprice ceiling is “binding” if the price ceiling is set below the equilibrium price. suppose that the equilibrium price is $5. if a price ceiling is set at $6, this will not affect the market in any way since $5 remains a legally allowable price (since $5 < $6). a price ceiling of $6 is called a “non-binding” price ceiling. on the other hand, if the price ceiling is set at $4, the price ceiling is “binding” because the natural equilibrium price is $5 but that is no longer allowed. what happens when there is a binding price ceiling? at a price below the equilibrium price, quantity demanded exceeds quantity supplied. there is a shortage. normally, price increases eliminate shortages by increasing quantity supplied and decreasing quantity demanded. in this case, however, price increases are not allowed past the price ceiling. we therefore predict that the observed market price will be right at the price ceiling and there will be a permanent shortage. the observed quantity bought and sold will be dictated by the quantity supplied at the price ceiling. although consumers would like to buy more, there are no more units for sale

Which are the best examples of costs that should be considered when creating a project budget? over budget and under budget production costs and capacity cost of living and allocated costs total budget and allocated costs