If the Price of a Good Increases, Other Things Held

question 147

Multiple Choice

If the price of a good increases, other things held constant, then

• A)more resources might flow into the production of the good.
• B)the good has become less scarce than all other goods.
• C)the relative price of the good decreases.
• D)either buyers or sellers respond to the new price, whereas the opposite group does not.
• E)the good becomes more desirable to consumers.