Exhibit 4-9 Data on Supply and Demand -In Exhibit 4-9, Which of the Following Would Occur at r

question 151

Multiple Choice

Exhibit 4-9 Data on supply and demand $$\begin{array} { | r | c | c | } \hline \text { Price } & \begin{array} { c } \text { Quantity } \\\text { Demanded }\end{array} & \begin{array} { c } \text { Quantity } \\\text { Supplied }\end{array} \\\hline \$ 2.00 & 100 & 300 \\1.50 & 150 & 250 \\1.00 & 200 & 200 \\0.50 & 250 & 150 \\\hline\end{array}$$
-In Exhibit 4-9, which of the following would occur at a price of $2.00?

• A) Inventories would put upward pressure on price.
• B) Quantity demanded exceeds quantity supplied, putting downward pressure on price.
• C) Inventories would put downward pressure on price.
• D) The surplus would be so small that there would be only slight downward pressure on price.

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