Given a downward-sloping demand curve and an upward-sloping supply curve for product A,an increase in the price of substitute product B and a simultaneous technological innovation in making product A will:
A) increase equilibrium quantity, but the change in equilibrium price will depend on the relative sizes of the shifts in demand and supply
B) decrease equilibrium quantity, but the change in equilibrium price will depend on the relative sizes of the shifts in demand and supply
C) increase equilibrium price, but the change in equilibrium quantity will depend on the relative sizes of the shifts in demand and supply
D) decrease equilibrium price, but the change in equilibrium quantity will depend on the relative sizes of the shifts in demand and supply
E) keep equilibrium price and quantity the same
Correct Answer:
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Q37: An increase in the wages of construction
Q38: The law of supply indicates that:
A)producers will
Q39: Q40: The supply curve shows the relationship between: Q41: Given a downward-sloping demand curve and an![]()
A)production
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