A Shortage Will Occur Whenever

question 252

Multiple Choice

A shortage will occur whenever

• A)price is below the equilibrium price.
• B)price is above the equilibrium price.
• C)price is equal to the equilibrium price.
• D)the supply curve is upward sloping.

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Definitions:

Health Care Consumption

The use or utilization of health care services and products by individuals to maintain or improve their health status.

Aggregate Costs

The total costs incurred by an economy or firm from producing a certain level of output, including fixed and variable costs.

Diminishing Marginal Utility

The principle that as a person consumes more of a product, the satisfaction (utility) gained from each additional unit decreases.

Consumer Behavior

The study of individuals, groups, or organizations and the processes they use to select, secure, use, and dispose of products, services, experiences, or ideas to satisfy needs and the impacts that these processes have on the consumer and society.