The Figure Given Below Represents the Demand and Supply Conditions

question 101

Multiple Choice

The figure given below represents the demand and supply conditions of an economy.?Figure 7.3

-Refer to Figure 7.3. Which of the following explains the shift in the supply curve from S₁ to S₂?

• A) Decreases in oil supplies as experienced in the 1970s
• B) Wage concessions by union members
• C) Businesses reducing their profit margins
• D) Discoveries of natural gas
• E) Increased foreign demand for domestic products

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Definitions:

Promissory Estoppel

A legal principle that prevents a party from withdrawing a promise made to a second party if the latter has reasonably relied on that promise to their detriment.

Foreclose

The legal process by which a lender attempts to recover the balance of a loan from a borrower who has stopped making payments to the lender by forcing the sale of the asset used as the collateral for the loan.

Consideration

The value (such as money, goods, or services) that is exchanged between parties in a contract.

Contractual Obligation

A duty or commitment that a party is bound to fulfill as per the terms of a contract.