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Based on the Following Diagram If There Were a $3

question 41

Multiple Choice

Based on the following diagram if there were a $3.50 price floor: Based on the following diagram if there were a $3.50 price floor:   A)  the quantity demanded would be 65 B)  the quantity demanded would be 60. C)  there would be a shortage of 60. D)  there would be a surplus of 60.

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Definitions:

Net Exports

The value of a country's total exports minus its total imports, indicating whether a country has a trade surplus or deficit.

Gross Investment

Total amount of investment in an economy, including investments in new capital assets and replacement of depreciated assets.

Gross Savings

The total amount of savings accumulated by the economy before depreciation is taken into account.

Trade Deficit

A condition in which the total cost of goods and services a country buys from abroad is greater than the total cost of goods and services it sells to other countries.

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