Suppose That the Equilibrium Price of T-Shirts Increases and the Equilibrium

question 139

Multiple Choice

Suppose that the equilibrium price of T-shirts increases and the equilibrium quantity of T-shirts decreases. This is best explained by a(n) :

• A) increase in the demand for T-shirts.
• B) decrease in the supply of T-shirts.
• C) increase in the supply of T-shirts.
• D) decrease in the demand for T-shirts.

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Definitions:

Perceptual Set

A tendency to perceive or notice some aspects of the available sensory data and ignore others, influenced by expectation or prior experience.

Facial Image

A visual representation of a person's face, often used for identification purposes.

Masking Stimulus

A noise or signal used in sensory experiments to interfere with or "mask" the perception of another stimulus, to study sensory thresholds and attention.

Weber's Law

A principle in psychology that states the smallest change in a stimulus that can be detected is a constant proportion of the original stimulus.