Macro Economics

posted by Greg

I am answering a mutiple choice question and there are two that seem correct.

One answer is "Supply will increase"
The other is the other is "There will be movement along the supply curve to a higher quantity supplied."

What is the diference between these two answers??

Or am I totally off? Here is the question.

An increase in the price of coffee will have what effect on the market for coffee?

--Demand will increase
--Supply will increase
--There will be movement along the supply curve to a higher quantity supplied
--There will be movement along the demand curve to a higher quantity demanded
--None of the above

  1. Kristen

    just because the increase of price, the actualy supply will increase, but the movement along the supply curve to a higher quantity supplied would be correct

  2. greg

    still do not see a diference in the two answers. It is leading me to surmize that "None of the above" is the correct answer.

    Possible because true answer would be that demand will decrease. Coffee would take 3 years to increase based on price of today.

Respond to this Question

First Name

Your Answer

Similar Questions

  1. Economics

    Determine whether each of the following would cause a shift in the aggregate demand curve, the aggregate supply curve, neither, or both. Which curve shifts, and in which direction?
  2. Economics

    Determine whether each of the following, other things held constant, would lead to an increase, a decrease, or no change in long-run aggregate supply: a. An improvement in technology b. A permanent decrease in the size of the capital …
  3. Economics

    Could you please check these thanks. Directions: Supply can decrease and increase depending upon several factors. Also you must put if that factor increase/decreases amount of supply, if the supply curves to the left/right, and if …
  4. Economics quick question

    Could you check these please thanks. A --------- is a graph showing the quantities supplied at each possible price. A. Supply Schedule B. Law of supply C. Supply Curve D. Market Supply Is the answer C?
  5. Economics

    Could you please check this Directions: Match each item with the correct statement. Here are the words: supply elasticity law of supply price system technology price ceiling supply inelastic supply curve shortage market supply taxes …
  6. economics

    Over the last two decades, the price of personal computers in real as well as nominal terms has declined markedly. Does this mean that the personal computer industry is decreasing-cost and that the long run supply curve for personal …
  7. economics

    Can you please exlain to me if I'm wrong not just correct me. ps. Ceteris paribusor the following markets, show whether change causes a shift in supply curve, a shift in demand curve, a movement along the supply curve, and/or a movement …
  8. economics

    An increase in an economy's resource pool will: 1)shift the short-run aggregate supply curve inward. 2)cause a movement along the long-run aggregate supply curve. 3)will shift both the long-run and short-run aggregate supply curves …
  9. Pre-calculus

    You are given a pair of equations, one representing a supply curve and the other representing a demand curve, where p is the unit price for x items. 80 p + x - 380 = 0 and 84 p - x - 40 = 0 Identify which is the supply curve and demand …
  10. Economics

    Which one of the following statements is correct under the theory of supply-side economics?

More Similar Questions