Say the market for cereal is initially in equilibrium when all the major newspaper published the findings from study that say that eating 2 cups of cereal each day significantly reduces the risk for a heart attack. Other things equal, the publication of these findings will:

Question

Quizplus · Accepted Answer

The publication of these findings will increase the demand for cereal, which will cause an increase in the quantity supplied of cereal. Therefore, the best choice is D, as it correctly identifies the increase in quantity supplied. Choices A, B, and C are incorrect, as they do not account for the increase in demand and would not occur with the publication of these findings.

Say the Market for Cereal Is Initially in Equilibrium When