Suppose That the Government Finds a Major Defect in One

question 182

Multiple Choice

Suppose that the government finds a major defect in one of a company's products and demands that it be taken off the market. What would we expect?

• A) The supply of the stock and the price will both rise.
• B) The supply of the stock and the price will both fall.
• C) The demand for the stock and the price will both rise.
• D) The demand for the stock and the price will both fall.

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Definitions:

Diene

Organic compounds that contain two double bonds, often involved in polymer production and synthetic rubber manufacture.

Solvolysis

The breakdown of a chemical compound by reaction with a solvent.

Methanol

A simple alcohol with the formula CH3OH, used as a solvent and as an antifreeze in fuel.

Products

The outcomes or substances resulting from a chemical reaction, which can be different in physical and chemical properties from the reactants.