If the Price of a Resource Increases, Other Things Constant

question 206

Multiple Choice

If the price of a resource increases, other things constant, less of that resource will be hired because

• A)producers will substitute away from that resource
• B)producers fear starting a trend toward higher resource prices
• C)the demand curve for the product will shift to the left
• D)highly paid resources don't produce as much
• E)it makes other resources look expensive as well

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Definitions:

Pays Bills Online

The process of using internet banking or payment platforms to settle invoices or bills.

Compounded Daily

Describes the method by which interest is calculated on an investment or loan with the earned interest being added to the principal daily for future interest calculations.

Annual Percentage Yield

The real rate of return earned on an investment, taking into account the effect of compounding interest.

Compounded Daily

Refers to the method of calculating interest where the accumulated interest is added to the principal sum every day.