If Consumers Suddenly Began Desiring More Apples and Fewer Oranges

question 418

Multiple Choice

If consumers suddenly began desiring more apples and fewer oranges,

• A) the market price of apples would rise, creating short-run economic profits in the apple industry. Current firms will expand output and new firms will enter the industry.
• B) the market price of oranges would fall, creating short-run economic losses in the orange industry. Current firms will reduce output and some will go out of business in the long run.
• C) neither a nor b are correct.
• D) both a and b are correct.

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Definitions:

Agility

The ability to move quickly and easily, often referring to physical coordination and the skill to change the body's position efficiently.

Pruned

In neuroscience, it refers to the process by which extra neurons and synaptic connections are eliminated to increase the efficiency of neuronal transmissions.

Neural Networks

Complex algorithms modeled on the human brain, used in artificial intelligence to simulate how humans learn.

Frontal Lobes

The frontal lobes are regions of the brain that are involved in decision making, problem solving, control of purposeful behaviors, consciousness, and emotions.