An Increase in the Demand for GM Automobiles Results In

question 90

Multiple Choice

An increase in the demand for GM automobiles results in:

• A)a lower equilibrium price for GM automobiles.
• B)an increase in the quantity supplied of GM automobiles.
• C)an increase in the supply of GM automobiles.
• D)a lower equilibrium quantity of GM automobiles.

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Definitions:

Adam Smith

A Scottish economist, philosopher, and author who is considered the father of modern economics, known for his theories on free markets.

John Maynard Keynes

A British economist whose theories on the effects of government spending and total demand influenced modern macroeconomics and government fiscal policy.

Karl Marx

A 19th-century philosopher, political economist, and revolutionary, best known for his critical analysis of capitalism and his advocacy for communism.

Great Recession

A significant global economic downturn that began in 2007 and lasted until 2009, marked by the collapse of the housing market and financial crisis.