Recall the Application about the decrease in price of illegal drugs in the United States to answer the following question(s).
-According to the Application,what should we observe before we can undoubtedly attribute the lower drug prices to an increase in supply?

Question

Quizplus · Accepted Answer

Before we can undoubtedly attribute the lower drug prices to an increase in supply, we should observe an increase in the equilibrium quantity. This would indicate that the supply of illegal drugs has increased, leading to a decrease in price. A shortage (B) would actually cause an increase in price, while a decrease in the equilibrium quantity (C) or a surplus (D) may not necessarily be correlated with the supply of illegal drugs.

Recall the Application About the Decrease in Price of Illegal