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Why are the bolded answers correct? 1. The equilibrium price of a good increases but the equilibrium quantity does not change. The most likely cause

Why are the bolded answers correct?

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1. The equilibrium price of a good increases but the equilibrium quantity does not change. The most likely cause was that the demand and supply for this good changed in which of the following ways? Demand Supply A. Increase increase B. Decrease decrease C. Decrease increase D. Increase decrease Production Possibilities (alternatives) ABCDEF Capital 15 14 12 9 5 0 Goods Consumer Goods 0 6 11 15 18 20 2. If the main goal of an economy was a larger increase in the economy's PPC, it should choose to produce at: A. Alternative B B. Alternative C C. Alternative E D. Alternative F 3. The opportunity cost to produce a car in Newport is 15 bikes and the opportunity cost to produce a car in Saratoga is 30 bikes. If Newport and Saratoga decide to specialize and trade 1 car for 20 bikes A. Newport will gain 5 bikes per car and Saratoga will lose 10 bikes per car. B. Newport will lose 5 bikes per car and Saratoga will gain 10 bikes per car. C. Newport will lose 5 bikes per car and Saratoga will lose 10 bikes per car. D. Newport will gain 5 bikes per car and Saratoga will gain 10 bikes per car

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