A "Decrease in Supply" Refers to Which of the Following

question 2

Multiple Choice

A "decrease in supply" refers to which of the following?

• A)the likely result from a decrease in the price of a factor of production
• B)a downward movement along a supply curve
• C)a decrease in quantity supplied
• D)a leftward shift in the supply curve
• E)a drop in the quantity actually exchanged

---

Definitions:

Nominal GDP

The value of the final goods and services produced in a given year valued at that year’s prices.

Velocity of Money

The speed at which currency is transferred from one deal to another and the frequency of usage of a currency unit within a specific timeframe.

Unemployment

The state of being without a job despite actively looking for work, usually measured as a percentage of the labor force.

PQ Remains Same

A situation in economic terms where the price level (P) and quantity (Q) of goods and services in the market stay unchanged over a period.