Helped by desktop publishing, the number of vintage baseball card forgeries has flooded the market for vintage baseball cards. Dealers left the market for fear of purchasing a phony. What was the effect on the market for vintage baseball cards assuming phonies could not be detected?
A) Demand shifted to the left, supply did not change, price declined, and quantity traded declined.
B) Supply shifted to the right, demand did not change, price declined, and quantity traded rose.
C) Supply shifted to the right, demand shifted to the left, and price rose.
D) Supply shifted to the right, demand shifted to the left, and price declined.

Question

Quizplus · Accepted Answer

The introduction of forgeries increased the supply of cards (shifted right), while fear of buying phonies decreased demand (shifted left), leading to a decline in price.

Helped by Desktop Publishing, the Number of Vintage Baseball Card