An Increase in the Price of a Good Causes

question 114

Multiple Choice

An increase in the price of a good causes

• A) a change in the slope of the budget line.
• B) an increase in the consumption of that good.
• C) a rightward shift of the demand curve for that good.
• D) a parallel rightward shift of the budget line.

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Definitions:

Bottleneck Items

Goods or components in the supply chain that slow down production or delivery due to their limited availability or high demand.

Cost Management

The process of planning and controlling the budget of a business or project, focusing on reducing expenses to improve profitability.

Internal Demand Analysis

The process of assessing the demand for a company's products or services within the company itself, often for budgeting or planning purposes.

Supplier Cost Structure

Refers to the detailed composition of costs that a supplier incurs, including direct, indirect, fixed, and variable costs, to provide goods or services.