The demand and supply curves shown below apply to a competitive market for a factor used in the production of widgets. FIGURE 13-2
-Refer to Figure 13-2.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 $10
E)increased by $330

Question

The demand and supply curves shown below apply to a competitive market for a factor used in the production of widgets.  FIGURE 13-2
-Refer to Figure 13-2.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 $10 
E)increased by $330

Quizplus · Accepted Answer

The Answer of The demand and supply curves shown below apply to a competitive market for a factor used in the production of widgets.  FIGURE 13-2
-Refer to Figure 13-2.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 $10 
E)increased by $330

The Demand and Supply Curves Shown Below Apply to a Competitive