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MMLU-Pro / 7597 / Suppose as a result of certain economic developments the priceof cars and the…

Problem

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question

Suppose as a result of certain economic developments the priceof cars and the price of steel both increase. What might bethe reasons behind this upsurge in prices, assuming the automobileindustry is fairly competitive and the supply of steelis constant in the short run?

category

economics

options

  1. Increased taxes on automobile sales
  2. Decreased demand for cars
  3. Increased demand for cars
  4. Decreased supply of steel
  5. Technological advancements in car manufacturing

src

stemez-Economics

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