Select the phrase that correctly completes the following statement."A decrease in the expected future price caused an increase in the supply of smartphones.As a result,
A)the price of smartphones decreased and the demand for smartphones increased."
B)the equilibrium quantity of smartphones decreased."
C)the price of smartphones decreased and the quantity demanded of smartphones increased."
D)the price of smartphones decreased.The lower price caused the supply of smartphones to decrease."

Question

Quizplus · Accepted Answer

A decrease in the expected future price leads producers to increase current supply, causing the price to decrease. The lower price results in an increase in the quantity demanded.

Select the Phrase That Correctly Completes the Following Statement