Perfectly competitive industry X has constant costs and its product is an inferior good. The industry is currently in long-run e
quilibrium. The economy now goes into a recession and average incomes decline. The new long-run equilibrium will result in a(n) rev: 06_26_2018 Multiple Choice increase in output and in the equilibrium price of the product. increase in output, but not in the equilibrium price of the product. decrease in output, but not in the equilibrium price of the product. decrease in output and in the equilibrium price of the product.
The new long-run equilibrium will result in a(n) rev : increase in output and in the equilibrium price of the product.
Explanation:
Higher prices mean that the quantity needed for good increases as income decreases and vice versa. Thus the quantity required good raises in the given question as income falls as a result of the recession. It pushes up the demand curve, leading to an increase in the supply yield and a price increase in value.
Modern supply and demand changes affect both price and quantity. If the supply curve goes up, which lowers supply, but leaves demand stable, the price of exchange is increasing, but volume decreases.
For Example, pump prices are likely to rise, if the supply of petrol falls.
Just before colliding with another vehicle, you should t<span>ake your foot off the brake pedal. </span><span> There are several things you can do in order to minimize the consequences of collisions. One of them is to take your foot off the brake pedal. Other are: - If possible, swerve to the right side of the road when you take evasive action. </span><span>- Another general rule is to hit an object with a glancing blow (at an angle) rather than head-on.</span>