In recent years, the price of smartphones has fallen, while the quantity exchanged of smartphones has risen. We can conclude that this is most likely a result of
A) a decrease in supply while demand remained constant.
B) an increase in demand while supply remained constant.
C) an increase in demand that exceeded an increase in supply.
D) an increase in supply that exceeded an increase in demand.

Question

Quizplus · Accepted Answer

An increase in supply that exceeded an increase in demand would lead to a decrease in price and an increase in the quantity exchanged, as described in the scenario.

In Recent Years, the Price of Smartphones Has Fallen, While