Answer: Reference pricing
Explanation: In simple words, reference pricing refers to a pricing strategy under which a supplier of a commodity charges the price lower than its competitors. That lower price works as a reference for the firm to attract customers from the competitors.
Sometimes the producers initially sets higher price of the commodity under reference pricing strategy and then offers heavy discounts on such high prices, a customer makes perception that the discount deal is a better deal than other producers.
Hence from the above we can conclude that the given case depicts reference pricing.
Its above the equilibrium price. Excess supply means they produced more than what people are demanding. So the bushel might be expensive for them and less people are buying it.
Answer:
The correct answer is: a decrease in the price and quantity of hybrid cars.
Explanation:
According to the Efficient Market Hypothesis (EMH), publicly-available information influence the asset's price movement. In that sense, if it is widely known that the gas prices will fall sharply, hybrid cars -fuel and electrical fueled cars, will see a fall in their price since the demand will increase. As implies fewer profits for a company, they are likely to produce fewer units of those types of vehicles.
I believe it is A
a monopoly is when a company owns all the companies in that buisnesses
Answer:
An elastic demand curve will result in higher social surplus. Social surplus equals consumer surplus plus supplier surplus, or simply total surplus. The highest possible social surplus is reached at the equilibrium point.
If a product's demand is completely inelastic, the supplier can increase the price at will, reducing consumer surplus to minimum levels. If a product's demand is completely elastic, then consumer surplus increases while supplier surplus is directly related to shifts in the demand. Higher demand increases supplier surplus.
