The Price of X Was $10 in Year 1 and $14

question 168

Multiple Choice

The price of X was $10 in year 1 and $14 in year 2.Which of the following could be the correct reason for the rise in price?

• A) The demand for X was higher in year 2 than in year 1,ceteris paribus.
• B) The supply of X was lower in year 2 than in year 1,ceteris paribus.
• C) The demand was higher,and the supply was lower,in year 2 than in year 1.
• D) a and b
• E) a,b,and c

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Definitions:

Triglycerides

A type of fat found in the blood, derived from the food we eat, used for energy or stored for future use.

Temperature Homeostasis

The physiological process that regulates the body temperature within a narrow range despite external temperature changes.

Completely Inelastic

A situation in which the demand or supply for a product does not change in response to changes in price.

Inelastic

Refers to a circumstance in which the demand or supply of a product or service is largely unaffected by price fluctuations.