- Question 4 1 Point Consider The Following Scenario A New Manufacturing Process Is Introduced To Make Hockey Skates T 1 (46.17 KiB) Viewed 33 times
- Question 4 1 Point Consider The Following Scenario A New Manufacturing Process Is Introduced To Make Hockey Skates T 2 (33.62 KiB) Viewed 33 times
Question 4 (1 point) Consider the following scenario: a new manufacturing process is introduced to make hockey skates. The new process is more efficient, lowers the cost of producing hockey skates, and allows more firms start producing hockey skates. At the same time, more individuals prefer hockey as a leisure activity and hockey league registration fees have gone down. What will happen to the equilibrium price and quantity? quantity will rise and the effect on price is ambiguous O price will rise and the effect on quantity is ambiguous price will fall and the effect on quantity is ambiguous O quantity will fall and the effect on price is ambiguous
Question 6 (1 point) Price $8.00 7.00 6.00 5.00 4.00 30 40 50 60 70 Quantity Refer to the Figure. If the government imposes a binding price ceiling in this market at a price of $5.00, what is the result? a surplus of 20 units a shortage of 10 units O a surplus of 10 units O a shortage of 20 units