The Table Below Displays Hypothetical Demand and Supply Schedules for the Market

question 35

Multiple Choice

The table below displays hypothetical demand and supply schedules for the market for overnight parcel deliveries in Canada. $$\begin{array}{l}\begin{array} { | l | l | l | l | l | l | } \hline & \begin{array} { l } \text { Quantity } \\\text { Demanded } \\\text { (millions) }\end{array} & && \begin{array} { l } \text { Quantity } \\\text { Supplied } \\\text { (millions) }\end{array} & \\\hline \text { Price (\$) } & \text { Year 1 } & \text { Year 2 } & & \text { Year 1 } & \text { Year 2 } \\\hline & & & & \\\hline 30 & 80 & 95 && 140 & 125 \\\hline 26 & 90 & 105 & &135 & 120 \\\hline 22 & 100 & 115 && 130 & 115 \\\hline 18 & 110 & 125 & &125 & 110 \\\hline 14 & 120 & 135 && 120 & 105 \\\hline 10 & 130 & 145 & &115 & 100 \\\hline\end{array}\\\text { TABLE 3- } 3\end{array}$$
-Refer to Table 3- 3. Which of the following statements describes a likely event in the market for overnight parcel delivery? From Year 1 to Year 2,

• A) there was a decrease in consumers' income.
• B) the number of suppliers of overnight parcel delivery service increased.
• C) there was an improvement in technology for tracking overnight parcels.
• D) there was a rise in the price of jet fuel.
• E) the price of regular parcel delivery decreased.

---

Definitions:

Nonlabor Income

Income received that does not result from employment or work performed, such as dividends, interest on investments, or pensions.

Leisure

Time spent away from work and essential activities, during which an individual can engage in activities of personal interest or enjoyment.

Wage Rate

The payment received by a worker or employee per unit of time or per unit of output, typically expressed as an hourly rate or piece rate.

Perfect Market System

A market structure characterized by an ideal scenario where there are many buyers and sellers, all having perfect information and no transaction costs, leading to efficient pricing.