When the Supply of Good a Decreases

question 61

Multiple Choice

When the supply of good A decreases,

• A)the equilibrium price and the equilibrium quantity will increase.
• B)the equilibrium price will increase,but the equilibrium quantity will decrease.
• C)the equilibrium price and the equilibrium quantity will decrease.
• D)the equilibrium price will decrease,but the equilibrium quantity will increase.
• E)a surplus will result.

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Definitions:

Violation-of-Expectation Tasks

Research methods used in cognitive psychology to study understanding or awareness by observing reactions to unexpected outcomes.

A-not-B Tasks

Cognitive tests used to assess the understanding of object permanence in infants, typically involving hiding an object in one location and observing if the infant can find it.

Information Processing System

A system, either computer-based or human, that processes information through stages including input, processing, output, and storage.

Lifespan

The duration of time from an individual's birth to their death.