Exhibit 14-4

question 107

Multiple Choice

Exhibit 14-4.Consider the following sample regression equation ,where y is the supply for Product A (in 1000s) and x is the price of Product A (in $) . Refer to Exhibit 14-4.The slope coefficient indicates that if

• A)the price of Product A increases by $1,then on average,supply decreases by 10.
• B)the price of Product A increases by $1,then on average,supply increases by 10.
• C)the price of Product A increases by $1,then on average,supply decreases by 10,000.
• D)the price of Product A increases by $1,then on average,supply increases by 10,000.

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