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economics

surpluses drives price down, shortages drives them up

   Related Questions in Microeconomics

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    Can there be certain fixed cost in long run? If not why? Answer: No, there can’t be any fixed cost in long run. The main reason is that there is no fixed inpu

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    Exit from a competitive industry will carry on till economic: (w) losses are driven to zero. (x) profits precisely offset accounting losses. (y) profit exceeds accounting profit. (z) resources have minimum incomes.

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    Elasticity of Demand: The law of demand elucidates that demand will change due to a change in the price of the commodity. However it does not elucidate the rate at w

  • Q : Hike in relative price of a good I have

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  • Q : Pure competition or monopoly with

    Compared along with pure competition or monopoly, not perfect competition is: (w) far more common in Europe than in the United States. (x) much more common in markets during the world. (y) much less common in advanced nations than in underdeveloped na

  • Q : Demand for Labor-Market Power Can

    Can someone please help me in finding out the accurate answer from the following question. The monopolist in product market will hire a labor to a point where the: (i) Marginal revenue product of the labor equivalent its marginal factor cost. (ii) The value of margina

  • Q : Government rent control imposing When

    When government rent controls are imposed at R0 when demand equals D0 and then demand changes to D1, there is the: (w) quality of housing is likely to enhance. (x) housing market will be plagued through shortages. (y) price ceili

  • Q : Problem on numbers of Buyers Even when

    Even when each household’s demand curve didn’t shift, the market demand for the butter would increase if there were a raise in: (1) House-hold income. (2) People’s preferences for the butter. (3) Population. (4) Price of margarine.

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