If Suppliers Expect the Price of Their Product to Fall

question 32

Multiple Choice

If suppliers expect the price of their product to fall in the future,then they will

• A)decrease supply now.
• B)increase supply now.
• C)decrease supply in the future but not now.
• D)increase supply in the future but not now.

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Definitions:

Economic Activity

Pertains to the action of producing, buying, selling goods and services, and making money within an economy.

Anglo-Dutch War

A series of 17th and 18th-century conflicts between England (later Great Britain) and the Dutch Republic over trade dominance and maritime control.

Colonial Expansion

Colonial expansion involves the process by which a nation extends its sovereignty over territories beyond its borders, often through conquest or colonization, for various motives including economic gain and cultural spread.

Duke of York

A title traditionally bestowed upon the second son of the British monarch. The title has a lengthy history and has been held by various members of the British royal family.