In the market for cable television, fewer people are subscribing to cable while the cost of providing cable television has increased. As a result, since the drop in cable subscribers has had a bigger impact on the market, we can expect a(n)
A) increase in the equilibrium price and quantity of cable television.
B) unknown change in the equilibrium price but a decrease in the equilibrium quantity of cable television.
C) decrease in the equilibrium price and quantity of cable television.
D) unknown change in the equilibrium quantity but a decrease in the equilibrium price of cable television.
Correct Answer:
Verified
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