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25. In the statement "quantity supplied is a function of price," are
the variables quantity and price dependent or independent
variables?
26. An increase in taxes on cigarette production would cause which
one of the following to occur?
27. What is the effect on the quantity of a commodity supplied
relative to demand as a result of a government-mandated price
ceiling or price floor?
28. A city ordinance that establishes a price ceiling on rent may
cause
29. If both demand and supply have traditional curves, a higher
equilibrium price may be caused by which one of the following?
30. If the price for a good is fixed by government fiat below market
equilibrium price, which one of the following will occur?
31. A price ceiling that is below the market equilibrium price would
be expected to result in which one of the following sets of effects on
demand and supply?
32. Which of the following characteristics would indicate that an
item sold would have a high price elasticity of demand?
33. An increase in the price of Commodity Y from $50 to $60
resulted in an increase in the quantity supplied, from 80 units to 88
units. Which one of the following is the price elasticity of supply?
34. A company has a policy of frequently cutting prices to increase
sales. Product demand is significantly elastic. What impact would
this have on the company's situation?
35. If demand for a product is elastic, what would be the effect of a
price increase and a price decrease on total revenue (TR)
generated?