The economy operates according to the law of supply and demand for goods and services. According to this theory, the interaction between supply and demand for a good or service fits and the vector of adjustment is price.
If the price is high, there is more supply than demand. If the price is low, there is more demand than supply. If demand increases, price increases and supply increases. If demand falls, the price falls. That is, the price makes the interaction. There will be a moment where the quantity offered is exactly equal to the quantity demanded, at which point the price practiced is the equilibrium price.
So if an economy is in equilibrium at a time and then the price charged is higher than the equilibrium price, it means that demand has gotten higher than supply.
<u>However, none of the alternatives would explain why a price is charged above the equilibrium price.</u> <u>The answer is the reverse of what is written in alternative (A)</u>. The truth is this: As the quantity demanded rises, the price rises above the equilibrium price. <u>This is the answer</u>.
The alternative (B) is true, although it does not answer the question of the problem. If prices rise, demand falls. This is because the high price discourages consumption.
BTW, I'm an economist and I'm sure.
Answer:
They have kept the country intact
Explanation:
I think this is a very interesting question. In my opinion, I think they have kept the country intact, look at it this way. Political parties means that there exists choice for the people. Absence of political parties makes it a 1 man ruling without the necessary checks and balances. Like in that of a monarchical ruling t, or military ruling. Essentially, one can do and undo as one wishes.
Now, the advent of political parties brings choice, meaning the people can choose. In a situation where party A doesn't fulfill its political campaign promises, they are at risk of being voted out by the people for party B. Party B themselves won't sit down idle, while not in power, they wake the people up to the wrongdoings of party A.
Like I said, the presence of political parties brings choice to the people, and also creates checks and balances. So, yes, they have kept the country intact.
The answer is simple: The Enlightenment
The correct answer is A) It was a period of rapid economic and social transformation. Hope this helps.
