If the Price of Corn Rises,we Generally Expect The

question 232

Multiple Choice

If the price of corn rises,we generally expect the:

• A)quantity of corn demanded to rise.
• B)quantity of corn supplied to rise.
• C)demand for corn to shift inward.
• D)supply of corn to shift outward.

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Definitions:

Long Run

A period of time in economics during which all factors of production and outputs are variable, allowing for full adjustment to changes.

Perfect Competitor

A theoretical concept in which a market structure has many small sellers, all producing homogeneous products with no control over market price.

Economic Profit

The difference between total revenue and total costs, including both explicit and implicit costs, representing additional gain over and above normative expectations.

ATC

Average Total Cost, which is calculated by dividing the total cost by the quantity of output produced.