If There Is an Increase in Demand (Parallel Shift of Demand

question 69

Multiple Choice

If there is an increase in demand (parallel shift of demand to the right) ,assuming a positively sloped supply curve and a negatively sloped demand curve,total surplus:

• A)will increase.
• B)will decrease.
• C)will remain the same.
• D)may change,but we can't tell how.

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Definitions:

Management Decisions

Choices or judgments made by the management of an organization regarding its operations, strategy, and resource allocation.

Seniority-Based

A system or practice where decisions on promotions, layoffs, and benefits are made based on the length of an employee's service within an organization.

Union-Mandated

Requirements or actions imposed by labor unions, often through collective bargaining or union regulations, that employers must follow.

Management Rights

The prerogatives and authorities held by employers to direct and control business operations, including hiring, work assignments, and discipline.