Refer to the above diagram.A decrease in demand is depicted by a:

Name: Refer to the above diagram.A decrease in demand is depicted by a:
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Question

Quizplus · Accepted Answer

A decrease in demand would shift the demand curve from D₂ to D₁, as shown in the diagram. This would result in a new equilibrium point at point x, which represents a lower quantity and lower price compared to the original equilibrium point at y. Thus, the correct answer is C.

Refer to the Above Diagram