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A Supermarket Manager Discovers That His Generic Brand Beans Are

Question 55

Essay

A supermarket manager discovers that his generic brand beans are disappearing off of his shelves faster than he can restock them and the premium brand beans are staying on the shelf going unsold. What can we probably say about the current prices of each of these products in relation to the market-clearing price?

Correct Answer:

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The price for the generic brand beans is...

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