Ice cream is made from fresh milk. A change occurs in the market for ice cream and the supply of ice cream changes. How does the supply change and why? The supply of ice cream ________. A. decreases today when the price is expected to rise next month B. increases when the price of fresh milk rises C. increases when ice cream workers are paid a higher wage rate D. decreases when new technology lowers the cost of producing ice cream
Ice cream is made from fresh milk. A change occurs in the market for ice cream and the supply of ice cream changes. How does the supply change and why? The supply of ice cream ________. A. decreases today when the price is expected to rise next month B. increases when the price of fresh milk rises C. increases when ice cream workers are paid a higher wage rate D. decreases when new technology lowers the cost of producing ice cream
Chapter5: Markets In Motion And Price Controls
Section: Chapter Questions
Problem 3P
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Ice cream is made from fresh milk. A change occurs in the market for ice cream and the supply of ice cream changes. How does the supply change and why?
The supply of ice cream ________.
A.
decreases today when the price is expected to rise next month
B.
increases when the price of fresh milk rises
C.
increases when ice cream workers are paid a higher wage rate
D.
decreases when new technology lowers the cost of producing ice cream
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