Consider a Market That Is in Equilibrium

question 84

Multiple Choice

Consider a market that is in equilibrium.If it experiences both an increase in demand and an increase in supply,what can be said of the new equilibrium?

• A)The equilibrium price and quantity will both rise.
• B)The equilibrium quantity will definitely rise,while the equilibrium price cannot be predicted.
• C)The equilibrium price will definitely rise,while the equilibrium quantity cannot be predicted.
• D)The equilibrium price and quantity will both fall.

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Definitions:

Double Billing

Billing more than one client for the same billable time period.

Billable Hours

The amount of time a professional, such as a lawyer, charges their client for, based on the hours they work on a specific case or project.

Fee Splitting

Fee splitting refers to the practice of sharing fees among different professionals, such as lawyers or doctors, which is often regulated due to ethical concerns.

Nonbillable

Nonbillable refers to time or activities related to a job or profession that cannot be charged to a client as part of services rendered.