The Graph Illustrates the Supply of Sweaters

question 92

Multiple Choice

The graph illustrates the supply of sweaters. As the technology used to produce sweaters improves, the

• A) quantity of sweaters supplied decreases.
• B) quantity of sweaters supplied increases.
• C) supply of sweaters decreases and the demand for sweaters does not change.
• D) supply of sweaters increases AND the demand for sweaters increases.
• E) supply of sweaters increases and the demand for sweaters does not change.

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Definitions:

Vertical Mergers

The combination of two or more companies that operate at different stages of production in the same industry, such as a manufacturer merging with a supplier.

Industrial Age

A period of history marked by major industrialization that transformed economies from being primarily based on agriculture and handicrafts to being based on manufacturing and machinery.

Conglomerate Mergers

The combination of companies operating in unrelated industries into a single corporate structure.

Deregulation

The act of decreasing or completely removing governmental influence in a specific sector, typically implemented to foster increased competition in that sector.