Steel Is an Important Input to the Production of Cars

question 150

Multiple Choice

Steel is an important input to the production of cars.Tires and cars are used together by consumers.What will occur in the market for tires when there is an increase in the price of steel?

• A)Price rises; quantity rises.
• B)Price falls; quantity rises.
• C)Price rises; quantity falls.
• D)Price falls; quantity falls.
• E)No change in price or quantity occurs.

---

Definitions:

Personal Computer Industry

The sector of the economy that manufactures and markets desktop, laptop, and related personal computing devices.

Composite Score

An overall rating or assessment made up of several individual scores or measurements.

Holding Cost Rate

The percentage of the value of inventory held in storage, reflecting the cost associated with storing and maintaining it over a given period.

Economical

Pertaining to efficient resource usage or offering good value for money.