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Why The Following Statement Is False Essay

214 Words1 Pages
1. Explain why the following statement is false: “In the goods market, no buyer would be willing to pay more than the equilibrium price.” Thinking of the demand curve and the law of demand, “as the price increases, the quantity demanded decreases, and conversely, as the price decreases, the quantity demanded increases.” (OpenStax, 2016) More than the equilibrium indicates higher price, reducing the product’s or the good’s demand. This is why buyers would not be willing to pay more than the equilibrium price. 2. Agricultural price supports result in governments holding large inventories of agricultural products. Why do you think the government cannot simply give the products away to poor people? Typically, people associate free with small

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