Figure 3-11 In Figure 3-11, Suppose D ₁ and S ₁ Indicate

question 160

Multiple Choice

Figure 3-11
In Figure 3-11, suppose D ₁ and S ₁ indicate initial conditions in the market for kitchen cabinets. Which of the following would tend to cause the supply curve to shift from S ₁ to S ₂?

• A) the invention of "folding" plates and cups that take up substantially less storage space in the kitchen
• B) a decrease in consumer income
• C) a decrease in the price of wood, a resource used to produce kitchen cabinets
• D) an increase in the price of steel hinges, a resource used to produce kitchen cabinets

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Definitions:

African American Workers

Individuals of African descent in the United States who are part of the labor force, facing both historical and modern-day challenges and opportunities in the workplace.

Unemployment Rate

The rate of people in the workforce who are jobless and in active pursuit of employment.

Frictionally Unemployed

Individuals temporarily out of work while transitioning between jobs or looking for their first jobs.

Deflation

A decrease in the general price level of goods and services over time.