-If the Price of a Product Increases

question 327

Multiple Choice

-If the price of a product increases

• A) there is an increase in quantity supplied and a decrease in demand.
• B) there is an increase in supply and a decrease in quantity demanded.
• C) there is an increase in supply and a decrease in demand.
• D) there is an increase in quantity supplied and a decrease in quantity demanded.

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Definitions:

Illusory Correlation

The cognitive mistake of perceiving a relationship between two variables even when none exists, often leading to erroneous conclusions or stereotypes.

Negative Correlation

A statistical relationship between two variables in which one variable increases as the other decreases.

Positive Correlation

A relationship between two variables where both variables move in the same direction.

Work-Related Stress

The stress experienced due to factors in the workplace, including workload, lack of support, or job insecurity.