Assume the Market Depicted in the Graph Is in Equilibrium

question 81

Multiple Choice

Assume the market depicted in the graph is in equilibrium. If supply increases:

• A) consumer surplus will increase.
• B) producer surplus will increase.
• C) total surplus will increase.
• D) quantity will increase.

---

Definitions:

Tight Bureaucracy

A highly structured organizational form with strict rules, procedures, and hierarchy, emphasizing control and consistency.

Contingency Perspective

An approach suggesting that the best management practices depend on the circumstances of a situation or environment.

Predictable Environment

A setting or situation where changes and conditions can be anticipated with a high degree of certainty.

Inventory Analysis

The examination of inventory to determine the optimal stock levels, turnover rates, and ordering practices.