When the Demand Curve Is Vertical and the Supply Curve

question 37

Multiple Choice

When the demand curve is vertical and the supply curve is upward sloping,:

• A)a rise in the input price that increases marginal cost by $1, decreases the firm's profit by $1.
• B)a drop in the input price that lowers the marginal cost by $1, doubles the firm's profit.
• C)a drop in the input price that lowers the marginal cost by $1, decreases the output price by $1.
• D)a rise in the input price that increases the marginal cost by $1, doubles the output price.

---

Definitions:

Financial Provider

An individual or institution that supplies funds or economic support to others.

Parental Support

The assistance and guidance parents provide to their children for emotional, physical, and financial needs.

Middle Age

A period in adult life that ranges approximately from the ages of 45 to 65, often characterized by stability, reflection, and transitions in personal and professional roles.

Masculine Ideal

A culturally and socially constructed concept of male behavior and traits that are considered desirable or appropriate within a society.