None of the above. If price is below equilibrium a. quantity demanded exceeds quantity supplied, and a shortage exists. Assume standard supply and demand curves. There is a simultaneous decrease in demand and decrease in supply. Both price change and quantity change are indeterminate.
Price is stable and quantity decreases.
Price decreases and quantity change is indeterminate. A tax which takes a greater percent of income as income increases is called a. regressive. Structural unemployment a. occurs when workers voluntarily leave jobs for which they are overqualified. When the economy is operating at full employment, increased spending will result in a. profit-push inflation. Inflation would have benefitted people a. who saved at fixed interest rates.