High profits in a particular industry indicate that
A)Consumers want less of that industry's goods.
B)Consumers are satisfied with the level of production of that industry's goods.
C)Consumers want more of that industry's goods.
D)Producers are satisfied with the level of production of that industry's goods.

Question

Quizplus · Accepted Answer

High profits in a particular industry indicate that consumers want more of that industry's goods. When demand for a product increases, the price and profit of the product also increase. Therefore, high profits indicate that there is a high demand for the goods produced by that particular industry.

High Profits in a Particular Industry Indicate That