FIGURE 13- 3The demand and supply curves shown below apply to a competitive market for a factor used in the production of widgets.

-Refer to Figure 13- 3.This factor market is initially in equilibrium at point B,but changes occur that cause the equilibrium to shift to point D (S curve shifts left).At the new equilibrium,total factor earnings compared to the initial equilibrium.
A)decreased by $30
B)increased by $30
C)remained the same
D)increased by $330
E)increased by $10

Question

FIGURE 13- 3The demand and supply curves shown below apply to a competitive market for a factor used in the production of widgets.
 
-Refer to Figure 13- 3.This factor market is initially in equilibrium at point B,but changes occur that cause the equilibrium to shift to point D (S curve shifts left).At the new equilibrium,total factor earnings compared to the initial equilibrium.
A)decreased by $30 
B)increased by $30 
C)remained the same 
D)increased by $330 
E)increased by $10

Quizplus · Accepted Answer

The Answer of FIGURE 13- 3The demand and supply curves shown below apply to a competitive market for a factor used in the production of widgets.
 
-Refer to Figure 13- 3.This factor market is initially in equilibrium at point B,but changes occur that cause the equilibrium to shift to point D (S curve shifts left).At the new equilibrium,total factor earnings compared to the initial equilibrium.
A)decreased by $30 
B)increased by $30 
C)remained the same 
D)increased by $330 
E)increased by $10

FIGURE 13- 3The Demand and Supply Curves Shown Below Apply