As the Price of Milk Increases,what Happens at the Original

question 75

Multiple Choice

As the price of milk increases,what happens at the original equilibrium in the market for cereal that signals market participants that the original equilibrium must change? (Milk and cereal are complements.)

• A)A surplus is created by an increase in supply.
• B)A surplus is created by a decrease in demand.
• C)A shortage is created by an increase in demand.
• D)A shortage is created by a decrease in supply.

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Definitions:

Checks and Balances

A system in which different branches of government have powers that can limit or check the powers of the others, thus ensuring no single branch becomes too powerful.

Two-Thirds Vote

A decision-making process requiring the approval of two-thirds of the members present and voting in a legislative body or other organization.

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These are legislative bodies in each of the United States responsible for making state laws.

Bill of Rights

The first ten amendments to the United States Constitution, ratified in 1791, guaranteeing such rights as the freedoms of speech, assembly, and worship.