If a Price Is Below Equilibrium

question 92

Multiple Choice

If a price is below equilibrium,

• A)A shortage will cause the price to fall and the quantity supplied to decrease.
• B)A shortage will cause the price to rise and the quantity supplied to increase.
• C)A surplus will cause the price to fall and the quantity supplied to decrease.
• D)A surplus will cause the price to fall and the quantity supplied to increase.

---

Definitions:

Suspect

A person thought to be guilty of a crime or offense.

Recall

The ability to retrieve and reproduce from memory previously encountered material.

Essay Questions

Open-ended questions requiring a detailed written response, often used in exams and assignments to assess critical thinking and comprehension.

Matching Questions

A type of question used in tests and quizzes where participants must pair items from two columns that correspond with each other.