-Refer to the above graph to answer this question.How could you describe the movement from point B to point C?
A)An increase in supply which leads to a decrease in the equilibrium price and an increase in demand.
B)An increase in demand which leads to a decrease in the equilibrium price and an increase in supply.
C)An increase in supply which leads to a decrease in the equilibrium price and an increase in the quantity demanded.
D)An increase in demand which leads to a decrease in the equilibrium price and a decrease in supply.
E)An increase in supply which leads to an increase in the equilibrium price and an increase in demand.

Question

-Refer to the above graph to answer this question.How could you describe the movement from point B to point C?
A)An increase in supply which leads to a decrease in the equilibrium price and an increase in demand. 
B)An increase in demand which leads to a decrease in the equilibrium price and an increase in supply. 
C)An increase in supply which leads to a decrease in the equilibrium price and an increase in the quantity demanded. 
D)An increase in demand which leads to a decrease in the equilibrium price and a decrease in supply. 
E)An increase in supply which leads to an increase in the equilibrium price and an increase in demand.

Quizplus · Accepted Answer

Moving from point B to point C typically indicates an increase in supply, which results in a lower equilibrium price and a higher quantity demanded, as more of the good or service becomes available at a lower price, encouraging consumers to buy more.

-Refer to the Above Graph to Answer This Question