Question: In Example 1 . 3 , what economic forces explain why the real price of eggs has fallen while the real price of a college
In Example what economic forces explain why the real price of eggs has fallen while the real price of a college education has increased?
The real price of eggs could have fallen because
A the demand for eggs has decreased as consumers have shifted to lowercholesterol foods.
B the supply of eggs has increased with improvements in egg production technology.
C the supply of eggs has increased as the cost of producing eggs has increased.
D the demand for eggs has decreased as the cost of producing eggs has decreased.
E Both A and are correct.
The real price of a college education could have risen because
A the demand for a college education has increased as more people have recognized the value of an education.
B the supply of college efucation has increased as the cost of staff salaries has decreased.
C the demand for a college education has decreased due to tastes and preferences.
D the supply of college education has increased as the cost of faculty salaries has increased.
E Both A and are correct.
Step by Step Solution
There are 3 Steps involved in it
1 Expert Approved Answer
Step: 1 Unlock
Question Has Been Solved by an Expert!
Get step-by-step solutions from verified subject matter experts
Step: 2 Unlock
Step: 3 Unlock
