An increase in supply with no change in demand will lead to _____ in equilibrium quantity and _____ in equilibrium price.
A)an increase; an increase
B)an increase; a decrease
C)a decrease; an increase
D)a decrease; a decrease

Question

Quizplus · Accepted Answer

An increase in supply shifts the supply curve to the right, leading to a higher equilibrium quantity and a lower equilibrium price, assuming demand remains constant.

An Increase in Supply with No Change in Demand Will