Suppose That Sales of a Product Depend Directly on Economic

question 101

Multiple Choice

Suppose that sales of a product depend directly on economic growth. If producers of that product expect an economic recession in the near future, there is likely to be

• A) a rightward shift of the supply curve.
• B) a movement to the left along the supply curve.
• C) a leftward shift of the supply curve.
• D) a movement to the right along the supply curve.
• E) none of these.

---

Definitions:

Democrats

A member or supporter of the Democratic Party, one of the two major contemporary political parties in the United States.

Independent

A term in statistics that implies no relationship between two variables, such that the occurrence of one does not affect the probability of occurrence of the other.

Addition Law

A principle in probability theory that calculates the probability of the union of two events, adjusting for the probability of both events happening.

Probability

A measure of the likelihood that a particular event will occur, often expressed as a number between 0 and 1.