In the market for good X there are three buyers, Adam, Bill, and Carolyn. Adam buys 3 units of good X at $4, Bill buys 7 units of good X at $4, and Carolyn buys 8 units of good X at $4. One point on the market demand curve for good X consists of a price of and a quantity demanded of units
A) $4; 10
B) $4; 18
C) $4; 15
D) $5; 8
E) none of the above
Answers: 2
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In a market economy, supply and demand are important because theya. (i) play a critical role in the allocation of the economy's scarce resources.b. (ii) determine how much of each good gets produced.c. (iii) can be used to predict the impact on the economy of various events and policies.d. all of (i), (ii), and (iii) are correct.
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In the market for good X there are three buyers, Adam, Bill, and Carolyn. Adam buys 3 units of good...
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