Supply of good in competitive economy

When the supply of a good shrinks in a competitive economy, there tends to be a raise in the: (1) Product price. (2) Incomes of producers. (3) Demand for resources. (4) Quantity supplied.

Can someone please help me in finding out the accurate answer from the above options.

View Complete Question

Related Questions in Microeconomics

Q : Question on economic cost Select the

Select the right answer of the question. Which of the following is not an economic cost? A) wages. B) rents. C) economic profits. D) normal profits.

Q : Probable outcome of a shift problem The

The shift from D0 to D1 would be a probable outcome of: (i) An alter in the price of gasoline. (ii) Winter ending and summer coming, and hence more people take vacations. (iii) A reduction in the number miles driven. (iv) A rise in the cost of petroleum employed to ge

Q : Amount of output supplied and price

The amount of output supplied is exactly proportional to the price therefore the price elasticity of supply equivalents one into: (w) Panel A. (x) Panel B. (y) Panel C. (z) Panel D.

Q : Typical purely competitive firm in

The typical purely competitive firm: (w) is both a price maker and a quantity adjuster. (x) operates within the inelastic range of the demand curve. (y) should decide how much to produce at prices set through the market. (z) tries to maximize total sa

Q : Principal-Agent Problems-Institutions

According to the John Kenneth Galbraith, the modern corporate planning: (i) Aims at decreasing risks to the managers of main firms. (ii) Stresses the maximization of gains. (iii) Is much concerned with the social goals. (iv) Maximizes the social welfare.

Q : Demand curve The law of demand is

The law of demand is graphically demonstrated by:

Q : Efficiency Wages problem The employees

The employees at times pose principal-agent problems for the firm’s owners in the deficiency of constant monitoring. Such problems are most probable to be lessened when a firm adopts the policy of: (1) dynamically opposing the attempts to unionize. (2) Paying em

Q : Increasing cost industry in long run

When curve C reflects the long run supply curve as in demonstrated figure for this industry, in that case this is a/an: (w) decreasing cost industry. (x) increasing cost industry. (y) constant cost industry. (z) diseconomies of scale industry.

Q : Net revenues problem When your firm

When your firm generates ski boats, your net revenues from selling given numbers of ski boats would be influenced least by: (1) Raised prices for jet skis. (2) Pay hikes for dock-workers. (3) Government increasing fees for boat licenses. (4) Vacatione

Q : Economic profit generating purely

In this illustrated figure in below the only purely competitive firm currently generating economic profit is in: (w) Firm A. (x) Firm B. (y) Firm C. (z) Firm D.

Discover Q & A

Leading Solution Library

Avail More Than 1427443 Solved problems, classrooms assignments, textbook's solutions, for quick Downloads

No hassle, Instant Access

Start Discovering

18,76,764

1935049
Asked

3,689

Active Tutors

1427443

Questions
Answered

Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!!

Submit Assignment