Question

The supply of seats for an economics class at 10 a.m. is the same as the supply of seats for the same class at noon. Every student who wants to attend this class at noon can, but there is a shortage of seats in the 10 a.m. class. If tuition does not vary by time of day, it follows that the demand for the 10 a.m. class is __________ the demand for the noon class.

a. lower than
b. the same as
c. greater than
d. either a or b
e. none of the above

Answer 1

Answer:

The correct answer is letter "C": greater than.

Explanation:

If the supply of chairs for a class is the same at 10:00 a.m. and noon, but there is a shortage of seats at 10:00 a.m., it implies more students prefer to attend that class at 10:00 a.m. In other words, the demand for the class at 10:00 a.m. is greater at that time than at 12:00 p.m.