According to the Supply and Demand Principle,a Decrease in Supply

question 156

Multiple Choice

According to the supply and demand principle,a decrease in supply results in __________.

• A)an increase in demand and a decrease in value
• B)a decrease in demand and an increase in value
• C)an increase in demand and an increase in value
• D)an increase in demand and no change in value

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Definitions:

Probability

The measure of the likelihood that an event will occur, expressed as a number between 0 and 1.

Spurious Relationships

An apparent but false relationship between two variables that is actually caused by a third variable.

Selection Bias

A distortion in the analysis resulting from the method of collection of data, where the sample is not representative of the population being studied.

Experimental Groups

Groups in an experiment that receive the treatment or intervention being tested.