17. Given this data, if the price of CD players is $200, a. there will be a surplus. b. there will be a shortage. c. the market is in equilibrium. d. the supply will increase.18. Temporary shortages in a market are eliminated by a. decreases in the price, which cause quantity supplied to fall and quantity demanded to rise. b. decreases in the price, which cause quantity supplied to rise and quantity demanded to fall. c. increases in the price, which cause quantity supplied to fall and quantity demanded to rise. d. increases in the price, which cause quantity supplied to rise and quantity demanded to fall.19. When a market is in equilibrium, a. quantity demanded will equal quantity supplied. b. a shortage will be present. c. a surplus will be present. d. sellers will continue to expand production to increase revenues.20. If a drought destroyed half of the U.S. garlic crop at a time when the health benefits of garlic were being well publicized, economists would expect that in the market for garlic a. quantity exchanged would rise but the change in price is uncertain without further information. b. price would rise but the change in quantity exchanged is uncertain without further information. c. both price and quantity exchanged would rise. d. price would rise and quantity exchanged would fall.21. The discovery of new gold in South America will __________ the price of gold and __________ the quantity of gold traded. a. raise; raise b. lower; raise c. raise; lower d. lower; lower22. Higher wages in the U.S. auto industry would __________ the prices of autos and __________ the quantity exchanged. a. lower; lower b. lower; raise c. raise; lower d. raise; raise23. In this diagram of the market for beachfront property in Connecticut, the equilibrium price is a. $100,000 per acre. b. $200,000 per acre. c. $300,000 per acre. d. $400,000 per acre.
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