Refer to the Information Provided in Figure 12

question 152

Multiple Choice

Refer to the information provided in Figure 12.4 below to answer the question(s) that follow. Figure 12.4
There are two sectors in the economy, X and Y, and both are in long-run, zero-profit equilibrium at the intersections of S^{0 and D0.}
-Refer to Figure 12.4. Assume consumer preference changes toward X and away from Y. Ceteris paribus, the likely change in capital flow in sector Y will eventually

• A) eliminate all profits.
• B) eliminate all losses.
• C) generate excess profits.
• D) result in excess losses.

---

Definitions:

Conditioned Stimulus

A conditioned stimulus is a previously neutral stimulus that, after becoming associated with an unconditioned stimulus, eventually triggers a conditioned response.

Unconditioned Stimulus

In behavioral psychology, a stimulus that naturally and automatically triggers a response without prior conditioning.

Psychological Principle

Foundational concepts or theories that explain behaviors, thoughts, and emotions within the field of psychology.

Categories

Groupings based on shared characteristics or properties, allowing for easier organization and understanding of different concepts or objects.