1. If the market price of a good is more than
the opportunity cost of producing it,
a. the market price of the product will
increase in the long run.
b. producers will increase supply in the
c. resources will flow away from
production of the good, causing supply to decline with the passage of time.
d. the situation will remain unchanged as
long as supply and demand remain in balance.
gains in a voluntary trade?
buyer and the seller
buyer and the seller, but the seller usually gains more
3. Economic progress
a. reflects that people are achieving higher income levels
and living standards.
b. requires that individuals work longer hours.
c. indicates that scarcity is no longer a problem.
d. indicates income levels are higher even though
environmental and health conditions have worsened.