There Is a Technological Advance in the Production of a Good

question 66

Multiple Choice

There is a technological advance in the production of a good and simultaneously also an increase in the expected future price. Which of the following will happen?

• A) The equilibrium price will rise because the supply curve shifts rightward.
• B) The equilibrium price falls because the supply curve shifts leftward.
• C) The technological improvement shifts the supply curve rightward while the increase in the expected future price shifts the supply curve leftward. The net effect is not known.
• D) The demand curve shifts rightward and the supply curve does not shift.

---

Definitions:

Consumer Anxiety

Refers to the feelings of worry and unease that consumers may experience before, during, or after making a purchase decision.

Expensive Brand

A brand perceived as high-cost due to its quality, exclusivity, or luxury status, often attracting a specific market segment.

Shopping Orientation

Refers to a consumer's general attitudes, behaviors, and intentions towards shopping, influenced by personal, social, and cultural factors.

Antecedent State

The psychological and physical condition of a consumer before entering a shopping or consumption situation, affecting their behavior.