Suppose That the Price for Fully Electric Vehicle Made by Toyota

question 59

Multiple Choice

Suppose that the price for fully electric vehicle made by Toyota increases.The quantity of fully electric cars sold in the market will:

• A)increase,because Toyota would be willing to sell more fully electric vehicles.
• B)decrease,because Toyota believes that to maintain the higher prices,it must sell a smaller quantity.
• C)increase,because other auto manufacturers would want to enter the market and also sell fully electric vehicles.
• D)Both A and C are correct.

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Definitions:

Scarcity

The fundamental economic problem of having seemingly unlimited human wants in a world of limited resources.

Poverty

A condition where individuals or communities lack the financial resources and essentials for a minimum standard of living.

Exchange

The act of trading goods, services, or currencies among parties.

Opportunity Cost

Forfeiting the immediately lesser choice has a cost attached when decisions are being made.