An increase in the demand for a good that is produced by many firms will

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Quizplus · Accepted Answer

An increase in demand for a good shifts the demand curve to the right, which increases the price that consumers are willing to pay. This increase in price leads to an increase in the marginal revenue for firms producing the good, as they can now sell their product at a higher price. Marginal cost curves are not directly affected by changes in demand; they are determined by the cost of production.

An Increase in the Demand for a Good That Is