There is a technological improvement in the production of good X.As a result,the _____________ curve for good X will shift ____________ resulting in a(n)_____________ in the equilibrium price of X and a(n)____________ in the equilibrium quantity of X.
A) supply; rightward; decrease; increase.
B) demand; leftward; decrease; decrease
C) demand; rightward; increase; increase
D) supply; leftward; increase; decrease
E) supply; leftward; increase; increase

Question

Quizplus · Accepted Answer

A technological improvement in the production of good X makes its production more efficient, leading to an increase in supply. This is represented by a rightward shift of the supply curve, which typically results in a decrease in the equilibrium price and an increase in the equilibrium quantity of X.

There Is a Technological Improvement in the Production of Good