If We Observe an Increase in the Equilibrium Quantity of Good

question 33

Multiple Choice

If we observe an increase in the equilibrium quantity of good A,we know that

• A)either the demand for A has increased or the supply of A has decreased or both.
• B)either the demand for A has increased or the supply of A has increased or both.
• C)either the demand for A has decreased or the supply of A has increased or both.
• D)either the demand for A has decreased or the supply of A has decreased or both.
• E)none of the above.

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Definitions:

Financial Satisfaction

The feeling of contentment or happiness with one's financial situation, including income, savings, and investments.

Hunger-Suppressing Hormone

A hormone like ghrelin that regulates feelings of hunger and satiety, helping to control appetite.

Ghrelin

A hormone produced in the stomach that stimulates appetite, promoting the feeling of hunger.

Arousal Theory

A theory in psychology that suggests people are motivated to maintain an optimal level of arousal, which varies by individual, to perform tasks optimally.