Figure 5.4 -Refer to Figure 5.4.The Figure Above Represents the Market for the Market

question 170

Multiple Choice

Figure 5.4
-Refer to Figure 5.4.The figure above represents the market for pecans.Assume that this is a competitive market.If the price of pecans is $3, what changes in the market would result in an economically efficient output?

• A)The price would increase, the quantity supplied would decrease and the quantity demanded would increase.
• B)The quantity supplied would increase, the quantity demanded would decrease and the equilibrium price would increase.
• C)The price would increase, the demand would decrease and the supply would increase.
• D)The price would increase, the quantity demanded would decrease and the quantity supplied would increase.

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Definitions:

Three-dimensional

Pertaining to an object or space having width, height, and depth.

Moment-of-truth

Critical points in the service delivery process where customers interact with the service and form impressions about its quality.

Service Provider

An entity that offers services to others, typically in exchange for payment.

Customer's Expectation

The set of beliefs or standards that customers have regarding the level of service or quality of product they will receive from a provider.