Which of the following explains why the price of a product might rise from one year to the next?
(i) an increase in quality
(ii) industry pricing trends
(iii) increased costs of production
(iv) an increase in demand for the product
A)(iii) only
B)(iii) and (iv)
C)(i), (iii), and (iv)
D)(i), (ii), (iii), and (iv)

Question

Quizplus · Accepted Answer

All the options listed can lead to a price increase: (i) improved quality can justify higher prices; (ii) industry trends might push prices up; (iii) higher production costs are often passed on to consumers; (iv) increased demand can lead to higher prices if supply doesn't keep pace.

Which of the Following Explains Why the Price of a Product