The instructors at College A are regularly late for their office hours.Based on a theory presented in the textbook,we would predict that the gap between the ______________student tuition and ___________equilibrium tuition is ___________ at College A.
A) lower; higher; small
B) higher; lower; small
C) lower; higher; large
D) higher; lower; large

Question

Quizplus · Accepted Answer

The theory presented in the textbook is the Law of Demand, which states that when the supply of a good or service is increased, the price (in this case, tuition) will decrease, leading to an increase in demand. In this scenario, the instructors' lateness is a decrease in the supply of the service (office hours), which would lead to a decrease in demand (number of students willing to pay for tuition at College A). This would cause the equilibrium tuition to be higher than the actual tuition, leading to a large gap between them. Therefore, the best choice is C, as it states that the gap between the lower student tuition and higher equilibrium tuition is large.

The Instructors at College a Are Regularly Late for Their