If the Quantity Demanded for Cars Is Lower Than the Quantity

question 81

Multiple Choice

If the quantity demanded for cars is lower than the quantity supplied, we can expect that:

• A) the price of cars will increase.
• B) the price of cars will decrease.
• C) the price of cars will not change.
• D) car manufacturers will increase their production of cars.

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Definitions:

Piecework Plan

A compensation system where employees are paid a fixed rate for each unit of production or action they complete, encouraging productivity.

Pay Structure

An organizational system that categorizes employee compensation into levels based on job duties, seniority, and performance outcomes.

Fairness

Fairness refers to the equitable and impartial treatment of all individuals according to established rules and principles.

Compa-ratios

A metric used in human resources to compare an individual’s salary to the midpoint of a salary range for their position or grade within an organization.