Multiple Choice
Suppose the market for a good is initially in equilibrium. For a given upward-sloping supply curve, all other things remaining unchanged, an increase in demand will typically _____
A) increase the equilibrium price but the change the equilibrium quantity in either direction.
B) increase the equilibrium quantity but change the equilibrium price in either direction.
C) increase the equilibrium price but leave the equilibrium quantity unchanged.
D) decrease both the equilibrium quantity and price.
E) increase both the equilibrium quantity and price.
Correct Answer:
Verified
Related Questions