The Figure Given Below Shows the Demand [D and D']

question 66

Multiple Choice

The figure given below shows the demand [D and D'] and supply [S and S'] curves of shares of stock. Figure 16.2 According to Figure 16.2, what sort of change in the market environment would increase the supply of stocks from S to S' and decrease the demand from D to D'?

• A)A perceived increase in the firms' expected future profits
• B)A new perception that the economy is about to enter a period of expansion
• C)News revealing that stocks prices will increase in the future
• D)News that the economy is likely go into a recession soon
• E)A perceived improvement in the firms' performance compared to the last year

---

Definitions:

Experiencing Conflict

The process of recognizing and dealing with disagreements or divergences in opinions, interests, or values.

Disband

To formally dissolve a group, organization, or assembly, so that it no longer functions as a unit.

Interdependence

A relationship between entities where each depends on the other, often leading to mutual influence or reliance.

Mutual Influence

Mutual influence is the reciprocal effect individuals or groups have on each other's attitudes, behaviors, or opinions, often leading to changes or adjustments in response to the interaction.