Aeronautical Engineers Are a Factor of Production for Airplanes

question 69

Multiple Choice

Aeronautical engineers are a factor of production for airplanes.What will happen in the world market for airplanes when there is a worldwide shortage of aeronautical engineers?

• A)price will increase,quantity exchanged will decrease
• B)price will increase,quantity exchanged will increase
• C)price will decrease,quantity exchanged will decrease
• D)price will decrease,quantity exchanged will increase
• E)there will be no change in price or quantity exchanged

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Definitions:

Probability

A measurement of the likelihood or chance that a certain event will occur, expressed as a number between 0 and 1 (where 1 indicates certainty).

Utility

A measure of satisfaction or happiness that a consumer receives from consuming goods and services.

Expected Utility Function

A concept in economics and decision theory that represents an individual's preference for a set of possible outcomes based on a probability distribution.

Sure Payment

A fixed amount of money that is guaranteed to be paid under specified conditions.