If There Is a Shortage in a Free Market, Then

question 328

Multiple Choice

If there is a shortage in a free market, then

• A) consumers will offer to pay a lower price for the good, and the price will fall toward the equilibrium level.
• B) consumers will offer to pay a higher price for the good, and the price will rise toward the equilibrium level.
• C) suppliers will decrease their output to match demand.
• D) suppliers will accept any price below equilibrium.

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Definitions:

Community Meetings

Gatherings of members of a community to discuss matters of common concern, share information, and make decisions on community issues.

Funeral Director

A professional who arranges and conducts the activities involved in a funeral service, including preparation of the body, and advising families on funeral planning.

Mortician

A professional involved in the preparation of bodies for burial or cremation, often overseeing funeral arrangements and services.

Family Doctor

A medical practitioner who provides comprehensive health care to people of all ages, often serving as the first point of consultation.