Assume That a Decline in Consumer Demand Occurs in a Purely

question 23

Multiple Choice

Assume that a decline in consumer demand occurs in a purely competitive industry that is initially in long-run equilibrium. We can

• A) predict that the new price will be greater than the original price.
• B) predict that the new price will be less than the original price.
• C) predict that the new price will be the same as the original price.
• D) not compare the original and the new prices without knowing what cost conditions exist in the industry.

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Definitions:

Ribosome

A cellular organelle that functions as the site of protein synthesis, reading RNA sequences to assemble amino acids into proteins.

Golgi Body

Membrane-enclosed organelle that modifies proteins and lipids, then sorts the finished products into vesicles. Shaped like a stack of pancakes.

Photosynthesis

A process used by plants and other organisms to convert light energy, usually from the sun, into chemical energy that can be later released to fuel the organism's activities.

Protist Cells

Eukaryotic organisms that are neither plants, animals, nor fungi, often unicellular, such as amoebas, algae, and protozoa.