If there is a surplus of a product, its price:

Refer to the diagrams. The case of substitute goods is represented by figure:

The more time consumers have to adjust to a change in price:

The demand schedules for such products as eggs, bread, and electricity tend to be:

The market system’s answer to the fundamental question “What will be produced?” is essentially:

Which of the following best illustrates the circular flow model in action?

At the current price there is a shortage of a product. We would expect price to:

An efficiency loss (or deadweight loss) declines in size when a unit of output is produced for which:

The amount of calendar time associated with the long run:

If the demand curve reflects consumers’ full willingness to pay, and the supply curve reflects all costs of production, then which of the following is true?