An Upward-Sloping Supply Curve Shows That

question 269

Multiple Choice

An upward-sloping supply curve shows that

• A)buyers are willing to pay more for a scarce product.
• B)suppliers are willing to increase production of their goods if they can receive higher prices for them.
• C)buyers are unaffected by sellers' costs of production.
• D)the price of a product is not influenced by the price buyers are willing to pay.
• E)at higher prices, an envy effect begins to affect the demand curve.

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Definitions:

Immediate Pay-offs

Immediate benefits or returns gained from an action or investment, often considered short-term thinking.

Nonrenewable Natural Resources

Resources found in nature that cannot be replenished or take millions of years to form, such as coal, oil, and natural gas.

Research and Development

The examination and analysis efforts performed by a business aiming at bettering its current products and methodologies or at pioneering new products and methodologies.

Immediate Pay-offs

Benefits or profits that are quickly realized after the implementation of an action or investment, as opposed to long-term gains.