When timber mills process logs, they produce both beams and sawdust. In the market for timber beams, which of the following events increases the supply of timber beams?   The supply of timber beams increases when ________.     A. the price of sawdust rises or the price of a timber beam is expected to rise next year   B. the price of sawdust rises or new technology lowers the cost of producing timber beams   C. a new law reduces the amount of forest that can be cut for timber   D. the price of a timber beam rises

Microeconomics: Private and Public Choice (MindTap Course List)
16th Edition
ISBN:9781305506893
Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Chapter9: Price Takers And The Competitive Process
Section: Chapter Questions
Problem 14CQ
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When timber mills process logs, they produce both beams and sawdust. In the market for timber beams, which of the following events increases the supply of timber beams?
 
The supply of timber beams increases when ________.
 
 
A.
the price of sawdust rises or the price of a timber beam is expected to rise next year
 
B.
the price of sawdust rises or new technology lowers the cost of producing timber beams
 
C.
a new law reduces the amount of forest that can be cut for timber
 
D.
the price of a timber beam rises
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