The Drought in the Midwest Over the Summer Has Decreased

question 390

Multiple Choice

The drought in the Midwest over the summer has decreased the supply of corn and, as a result, brought a sharp increase in the price of corn. (Source: The Economist, August 4, 2012) The increase in the price of corn

• A) always increases consumer surplus.
• B) always decreases consumer surplus.
• C) does not affect consumer surplus because this change reflects only a movement along the demand curve.
• D) increases consumer surplus if demand is elastic and decreases consumer surplus if demand is inelastic.

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Definitions:

Internal Candidates

Employees within an organization who apply for a new or vacant position as part of the internal recruitment process.

Employee Morale

The overall outlook, attitude, satisfaction, and confidence that employees feel towards their work and work environment.

Artificial Requirement

A stipulation for employment that appears essential for the job but actually serves no real purpose and may be used to exclude certain individuals or groups.

Discriminating

The unjust or prejudicial treatment of different categories of people, especially on the grounds of race, age, or sex.