If Producers Expect the Price of a Good to Fall

question 204

Multiple Choice

If producers expect the price of a good to fall in the future, they might:

• A) raise the price of the good today.
• B) hoard goods to save them for when the price is lower.
• C) increase their supply of goods out of storage today.
• D) increase the demand for their goods today.

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Definitions:

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