Which of the Following Statements Is Not Correct About a Market

question 31

Multiple Choice

Which of the following statements is not correct about a market in equilibrium?

• A)The price determines which buyers and which sellers participate in the market.
• B)Those buyers who value the good more than the price choose to buy the good.
• C)Those sellers whose costs are less than the price choose to produce and sell the good.
• D)Consumer surplus will be equal to producer surplus.

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Definitions:

Visual Information

Data or knowledge that can be received and processed visually, often via illustrations, graphs, images, or video.

Overconfidence Effect

A mental distortion in which a person's belief in their own decision-making abilities exceeds the actual precision of those decisions.

Behavioral Economics

Investigating the influence of psychological, cognitive, emotional, cultural, and social factors on individuals' and institutions' economic decision-making falls within this segment of economics.

Cognitive Biases

Systematic patterns of deviation from norm or rationality in judgment, whereby individuals create their own "subjective social reality."