Assume that the demand for apples increased. The effect would be a(n)
A) increase in the equilibrium price and a decrease in the equilibrium quantity
B) increase in the equilibrium price and an increase in the equilibrium quantity
C) decrease in the equilibrium price and an increase in the equilibrium quantity
D) decrease in the equilibrium price and a decrease in the equilibrium quantity

Question

Quizplus · Accepted Answer

When demand for a product increases, it typically leads to a higher equilibrium price and quantity, as suppliers can charge more due to increased demand and will likely produce more to meet that demand.

Assume That the Demand for Apples Increased