Assume a competitive market is in equilibrium.There is an increase in demand,but no change in supply.As a result,the equilibrium price ________,and the equilibrium quantity ________.

Question

Quizplus · Accepted Answer

An increase in demand with no change in supply will lead to a shortage in the market. This will result in an increase in the equilibrium price and quantity, as producers will be willing to supply more at the higher price due to the increase in demand. Therefore, option B is the correct answer.

Assume a Competitive Market Is in Equilibrium