Some Producers Are Chatting Over a Beer

question 71

Multiple Choice

Some producers are chatting over a beer. Which quotation refers to a leftward shift of the supply curve?

• A) "Wage increases have forced us to raise our prices."
• B) "Our new, sophisticated equipment will enable us to undercut our competitors."
• C) "Raw material prices have fallen; we will pass the savings on to our customers."
• D) "We anticipate a big increase in demand. Our product price should rise, so we are planning for an increase in output."
• E) "We anticipate a big decrease in demand. Our product price should fall, so we are planning for a decrease in output."

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Definitions:

Cell Body

Also known as the soma, this is the central part of a neuron that contains the nucleus and is essential for processing and transmitting neural information; another term for neuron cell bodies.

Dorsal Roots

The sensory branches of spinal nerves that transmit sensory information from the peripheral nervous system to the spinal cord.

Spinal Cord

A long, thin, tubular bundle of nervous tissue and support cells that extends from the brainstem down the back, transmitting nerve signals to and from the brain.

Sensory Neurons

Nerve cells responsible for converting external stimuli from the organism's environment into internal electrical impulses.