Figure 4-26
-Refer to Figure 4-26.Which of the following movements would illustrate the effect in the market for doctor's visits of an increase in the number of medical students graduating from medical school and successfully completing their residency programs?

Question

Figure 4-26 
-Refer to Figure 4-26.Which of the following movements would illustrate the effect in the market for doctor's visits of an increase in the number of medical students graduating from medical school and successfully completing their residency programs?

Quizplus · Accepted Answer

An increase in the number of medical students graduating from medical school and successfully completing their residency programs would increase the supply of doctors, which would shift the supply curve to the right, from S1 to S2. This would lead to a decrease in the equilibrium price (from P1 to P2) and an increase in the equilibrium quantity (from Q1 to Q2). Therefore, the correct answer is A, which represents a movement from Point A to Point B.

Figure 4-26 -Refer to Figure 4-26.Which of the Following Movements Would Illustrate