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Scenario 18-1 Madison Kelp Owns Three Boats, Which Participate in Commercial Fishing

Question 9

Multiple Choice
Scenario 18-1
Madison Kelp owns three boats, which participate in commercial fishing for fresh Pacific salmon off the coast of British Columbia.As part of her business, she hires a captain and several crewmembers for each boat.In the market for fresh Pacific salmon, there are thousands of firms like Madison's.While Madison usually catches a significant number of fish each year, her contribution to the entire harvest of salmon is negligible relative to the size of the market.
-Refer to Scenario 18-1.If the price of fresh Pacific salmon were to decrease significantly,what would Madison most likely do

Scenario 18-1
Madison Kelp owns three boats, which participate in commercial fishing for fresh Pacific salmon off the coast of British Columbia.As part of her business, she hires a captain and several crewmembers for each boat.In the market for fresh Pacific salmon, there are thousands of firms like Madison's.While Madison usually catches a significant number of fish each year, her contribution to the entire harvest of salmon is negligible relative to the size of the market.
-Refer to Scenario 18-1.If the price of fresh Pacific salmon were to decrease significantly,what would Madison most likely do


A) She would reduce her demand for crewmembers.
B) She would try to increase her catch to make up for lost revenue.
C) She would become a seller in at least one factor market.
D) She would shut down her fishing business.

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