A Shortage of a Good Occurs When

question 184

Multiple Choice

A shortage of a good occurs when:

• A) the quantity supplied equals the quantity demanded.
• B) the quantity supplied is greater than the quantity demanded.
• C) the quantity supplied is less than the quantity demanded.
• D) supply does not exist.

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Definitions:

Actual Authority

Authority given to an agent expressly or by implication.

Estoppel

An equitable remedy that stops a party from trying to establish a position or deny something that, if allowed, would create an injustice.

Ratification

The action of officially approving or confirming an agreement or act, making it valid.

Apparent Authority

Authority as suggested to a third party by the conduct of a principal; may exist even when there is no actual authority.