Suppose a new use for aluminum has been discovered, making aluminum more expensive. In a market system:
A. the aluminum roof producers may choose to look for other substitutes for aluminum.
B. aluminum producers will choose to increase production of aluminum.
C. auto manufacturers will find it in their best interest to use more aluminum.
D. A and B are correct.
Answer:D
Suppose a new use for aluminum has been discovered, making aluminum more expensive. In a market system:
A. the aluminum roof producers may choose to look for other substitutes for aluminum. B. aluminum producers will choose to increase production of aluminum. C. auto manufacturers will find it in their best interest to use more aluminum. D. A and B are correct.