Brazilian rosewood is renowned for its tonal qualities and gorgeous figuring on acoustic guitars. However, Brazilian rosewood is now banned from use in the construction of new guitars. What will likely happen to the price of used Brazilian rosewood guitars over time?
A) The price for used Brazilian rosewood guitars will increase because there will be a smaller supply of those guitars on the used market.
B) The price for used Brazilian rosewood guitars will decrease as fewer people decide to sell their rosewood guitars.
C) The price of used Brazilian rosewood guitars will increase at first and then decrease, since an increase in demand raises prices, causing people to buy less of the product.
D) The price for used Brazilian rosewood guitars will increase as more people try to cash in by selling their increasingly rare rosewood guitars.
Correct Answer:
Verified
Q86: Use the following to answer questions:
Figure: Price
Q87: Use the following to answer questions:
Figure: Market
Q88: The September 11 terrorist attacks turned many
Q89: Use the following to answer questions:
Figure: Demand,
Q90: Use the following to answer questions:
Figure: Price
Q92: Vernon Smith tested the supply and demand
Q93: Before his pioneering experiments on market equilibrium,
Q94: Why did Vernon Smith win the Nobel
Q95: Laboratory experiments by Vernon Smith support:
A) the
Q96: Vernon Smith showed the market equilibrium concept
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents