If the Price of a Good Is Low

question 33

Multiple Choice

If the price of a good is low,

• A)firms would increase profit by increasing output.
• B)the quantity supplied of the good could be zero.
• C)the supply curve for the good will shift to the left.
• D)firms can and should raise the price of the product.

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Definitions:

Disequilibrium

Disequilibrium refers to a state of imbalance or lack of equilibrium, often used in contexts ranging from physical stability to economic conditions.

Accommodation

In cognitive development, the process of altering one's existing schemas or ways of thinking in response to new information.

Equilibration

A concept in Piaget’s cognitive development theory referring to the process of achieving mental stability where the child's internal structures match or fit the external environment.

Assimilation

A cognitive process that involves incorporating new information into existing cognitive schemas, perceptions, and understanding.