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If the Decrease in the Supply of a Product Is

Question 87

Multiple Choice

If the decrease in the supply of a product is greater than the increase in its demand, _____.


A) the price will rise, but the quantity traded will fall
B) the price will rise, but the quantity traded could either rise or fall
C) the price will fall, but the quantity traded could either rise or fall
D) the quantity traded will rise, but the price could either rise or fall
E) the price will remain the same, but the quantity traded will fall

Correct Answer:

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