Managerial Economics

1:

A rise in the price of a commodity will generally call forth a bigger supply and this will be brought about partly by existing firms expanding their output and partly by

A.

The discovery of new sources of raw materials

B.

New firms being attracted into the industry

C.

The general expansion of the market

D.

Changes in the general level of consumer's incomes

 

Answer : B

Explanation :

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Option: A

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