Table 3-4 -In Table 3-4,if Price Rises from $8 to $10

question 44

Multiple Choice

Table 3-4

-In Table 3-4,if price rises from $8 to $10

• A)quantity demanded rises by 500 and quantity supplied falls by 700.
• B)quantity demanded falls by 500 and quantity supplied rises by 700.
• C)quantity demanded rises by 1000 and quantity supplies falls by 1700.
• D)quantity demand falls by 500 but quantity supplied does not change.

---

Definitions:

Marginal Cost

The cost incurred to produce one additional unit of a good or service, critical for pricing and production decisions.

R&D

Research and Development, a business or governmental activity aimed at discovering new knowledge and its application.

Holdup

A situation in business where one party opportunistically takes advantage of another party because of preexisting commitments.

Pentagon

The headquarters of the United States Department of Defense, located in Arlington, Virginia, known for its distinctive five-sided shape.