I no Which of the following changes could cause the computer market to chnge as
ID: 1126405 • Letter: I
Question
I no Which of the following changes could cause the computer market to chnge as sho a. Lower costs for computer chips and motherboards. b· The failure of several computer manufacturers. c. Higher prices for computer software. d. More features and greater ease of use. 14. Suppose the market for "soda X" is in equilibrium. If the FDA announced today that this soda has been proven to cause a fatal disease, what would be most likely to happen to the equilibrium price and equilibrium quantity of soda X? a. Price increases and quantity increases b. Price decreases and quantity increases c. Price increases and quantity increases d. Price decreases and quantity decreases e. No change in price and quantity 15. 16. Which of the following is an example of market failure? a. Public goods b. Extemalities. Lack of competition. all of the above. c. d. A cost or benefit of a good imposed on people other than the consumers or producer of a good is called a (an): a. public good. b. merit good. c. private good. d. externality 17. 18. Which if the following is the best example of a public good? a. Bread. b. Fish in the ocean. c. Scrambled satellite broadcasts. d. National defense. If the equilibrium price of natural gas is $4 per thousand cubic feet and a price ceiling is imposed at $3 per thousand cubic feet, the result will be: a. a surplus of natural gas. 19. c. an accumulation d. None of the above. of inventories of unsold gas.Explanation / Answer
cant read Q14.
15. Price as well as quantity decreases because the demand curve shifts to the left.
16. All of the above are examples of market failure.
17. Externality: For example, pollution is imposed on people by polluting industries.
18. National defence is a public good as no individual has a complete ownership of national defence.
19. There will be a shortage of natural gas as at $3, demand is greater than the supply.