Question

14 in a free - market economic system, if consumers perceive the price for a state - of - the - art laptop as too high for the value received, they are likely to avoid buying it. in the same light, if the multiple choice sellers price is too low, consumers will definitely consider it to be poor quality. consumers desired price is too low, producers will want to produce an abundance of the product. consumers desired price is too low, producers may limit the amount produced. consumers desired price is too low, producers will refuse to make a substitute.

Explanation:

In a free - market, producers respond to price signals. If the consumer - desired price is too low, producers' profit margins are squeezed. To avoid losses, they may limit production. The first option is an over - generalization about consumers' perception of low - priced goods. The second option is incorrect as low consumer - desired prices would likely lead to less production, not more. The fourth option about substitutes is not directly related to the basic producer response to low consumer - desired prices.

Answer:

C. consumer's desired price is too low, producers may limit the amount produced.