What Is Likely to Happen If a Producer Incorrectly Sets

question 170

Multiple Choice

What is likely to happen if a producer incorrectly sets the price of its product too high?

• A) A shortage (excess demand) will result, and consumers will bid the price down to equilibrium.
• B) A surplus (excess supply) will result, and the additional goods in inventory will prompt the producer to lower the price.
• C) A shortage (excess demand) will result, and consumers will bid the price up to equilibrium.
• D) A surplus (excess supply) will result, and the additional goods in inventory will prompt the producer to restrict output until sales increase.

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Definitions:

Fluid Compartments

Divisions within the body where bodily fluids are contained, including intracellular, extracellular, and plasma fluids.

Cytoplasm

Protoplasm of the cell surrounding the nucleus.

Plasma

The liquid component of blood, in which the blood cells are suspended, consisting mainly of water and proteins.

Na+

Sodium ions, essential electrolytes in the body that help maintain blood pressure and volume, and are critical for proper muscle and nerve function.