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2 years ago

If there's upward pressure on price how does this affect the supply side of the market?

Business

1 answer:

taurus [48]2 years ago

6 0

If there's upward pressure on price, there would be an increase in the quantity supplied.

<h3>What the relationship between price and the quantity supplied?</h3>

There is a positive relationship between price and the quantity supplied. When there is an increase in price, the quantity supplied increases all things being equal.

The positive relationship between price and the quantity supplied is a result of the desires to earn more profit. So when price increases, in order to earn higher income, producers would increase the quantity supplied. This postulation is in line with the law of supply.

To learn more about the law of supply, please check: brainly.com/question/26374465

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You just stuffed yourself with a hot dog, a large tub of popcorn, and a box of milk duds while watching a movie. when you come o

Ket [755]

Answer:

This can be best explained by <u>"incentive theory".</u>

Explanation:

When your behavior is motivated by your desires, and that motivation may come from the environment, this is known as incentive theory. We can see the example of this theory in the given scenario which is related that a person is full but when he smells cinnamon buns he want to eat that, that smell motivate him to buy that bun.

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3 years ago

Extra Sandwiches, a sandwich chain, experiments with offering a free bag of chips with its sandwiches in the South to try out it

Aleksandr [31]

If a sandwich chain, experiments with offering a free bag of chips with its sandwiches. This sandwich chain is in the <u>test marketing</u> stage.

<h3>What is test marketing?</h3>

Test marketing stage can be defined as the stage that is use to know how good or how bad a product is based on the response of the consumer that have use or tasted a product or based on the feedback received.

Most companies tend to make use of test marketing create product awareness or to build brand awareness and to know the reaction of potential customers.

Therefore This sandwich chain is in the <u>test marketing</u> stage.

Learn more about test marketing here:brainly.com/question/9314688

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2 years ago

Foreign exchange risk arises when:

ivolga24 [154]

Answer:

Business transactions are denominated in foreign currencies.

Explanation:

Foreign exchange can be referred to as the exchange of one country's currency for another currency. The exchange of these currencies occurs in an exchange market known as forex market.

Foreign exchange risk is a financial risk in which changes in the exchange rate may result in the loss of investment value or huge financial breakdown.

The most effective approach to preventing foreign exchange risks is for organizations to make and receive all forms of payment in their own currency.

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4 years ago

Orange County Shop follows the revenue recognition principle. Orange County services a bicycle on July 31. The customer picks up

mel-nik [20]

Answer:

a. July 31

Explanation:

According to the revenue recognition principle, the revenue is recorded when the revenue is realized or earned not when the cash is received. There is no effect on cash receipt in this principle

Whether cash is received or not, the revenue is recognized when the service is provided to a customer

According to the given scenario, the service is performed so it is on July 31

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3 years ago

If the economy starts below full employment, an expansionary fiscal policy will shift the aggregate demand curve from _____ to _

MrRissso [65]

The expansionary fiscal policy will shift the aggregate demand curve from <u>AD0</u> to <u>AD1</u> and equilibrium will move from point <u>a</u> to <u>b</u> if the economy starts below full employment.

<h3>What is the below full employment?</h3>

Its means when an the short-run real gross domestic product is lower than that same long-run potential real gross domestic product.

Hence, the economic situation will elicit a policy of expansionary fiscal which will affect the aggregate demand graph.

Therefore, the aggregate demand curve from <u>AD0</u> to <u>AD1</u> and equilibrium will move from point <u>a</u> to <u>b</u> if the economy starts below full employment.