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A researcher wanted to determine if consuming diet sodas causes diabetes. He conducted a study in which subjects were asked to recall how many diet sodas they drank each day, on average; the subjects' blood sugar levels were then measured. The average blood sugar levels were determined in the test subjects. Each group included an equal number of male and female participants and the groups were standardized for average weight and age. Which of these statements most accurately describes what is seen in the graph?
Output Increases
A rise in the amount of goods or services produced by a company or economy.
Price-taker Firm
A company that has no control over the market price and must accept the prevailing market price for its products.
Short Run
A period in economics during which some factors of production are fixed, limiting the ability to fully adjust to market changes.
Elasticity of Market Supply
The degree to which the quantity supplied of a good changes in response to a change in price.
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