If We Observe a Decrease in the Equilibrium Quantity of Good

question 152

Multiple Choice

If we observe a decrease 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:

Tenant

An individual who rents or leases a space, such as an apartment or office, from a landlord.

Mortgage

A legal agreement in which a borrower agrees to repay a lender over time, secured by real property as collateral.

Closing Costs

Expenses over and above the price of the property in a real estate transaction, such as taxes, attorney's fees, and title insurance.

Escrow Agent

A neutral third party responsible for holding assets or documents until certain conditions of an agreement are met.