Which of the Following Statements Is Valid When Supply Is

question 32

Multiple Choice

Which of the following statements is valid when supply is perfectly elastic at a price of $4?

• A)The elasticity of supply approaches infinity.
• B)The supply curve is vertical.
• C)At a price below $4,quantity supplied is infinite.
• D)At a price above $4,quantity supplied is zero.

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Definitions:

Runaway Slaves

Enslaved people who escaped from their enslavers in an attempt to gain freedom, often facing great risks and seeking safe haven through networks like the Underground Railroad.

Wilmot Proviso

A proposed amendment to a bill in the U.S. Congress in 1846 aiming to ban slavery in territory acquired from Mexico.

Fugitive Slave Law of 1850

Part of the Compromise of 1850, this law required citizens to assist in the capture of runaway slaves and denied fugitives the right to a jury trial.

Northwest Ordinance

A law passed in 1787 by the Congress of the Confederation of the United States to create a structured process for territories in the Northwest to become states.