All else equal,a shortage of display screens used in the manufacture of tablet computers would cause the equilibrium price of the tablet computers to ________ and the equilibrium quantity of the tablet computers to ________.
A) increase; increase
B) increase; decrease
C) decrease; increase
D) decrease; decrease

Question

Quizplus · Accepted Answer

A shortage of display screens, a key input in tablet production, would decrease the supply of tablets, leading to an increase in the equilibrium price and a decrease in the equilibrium quantity.

All Else Equal,a Shortage of Display Screens Used in the Manufacture