If the Actual Price Were Below the Equilibrium Price in the Market

question 78

Multiple Choice

If the actual price were below the equilibrium price in the market for bread, a:

• A) surplus would develop that cannot be eliminated over time.
• B) shortage would develop, which market forces would eliminate over time.
• C) surplus would develop, which market forces would eliminate over time.
• D) shortage would develop, which market forces would tend to exacerbate.

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Definitions:

German Philosophers

Intellectuals from Germany who have made significant contributions to philosophy, often associated with movements such as idealism, existentialism, and phenomenology.

Comedies

Works of literature, theater, or cinema that are intended to be humorous and entertain by highlighting the absurdities or peculiarities of life.

Work of Art

An artifact or performance that has been created with artistic intent, often appreciated for its beauty or emotional power.

Sanskrit

An ancient Indic language of India, in which the Hindu scriptures and classical Indian epic poems are written and from which many northern Indian languages are derived.