Which of the following events will cause a decrease in the equilibrium price?
A) a government tax on output
B) a decrease in income for an inferior good
C) an increase in the price of a substitute good
D) lower input prices

Question

Quizplus · Accepted Answer

Lower input prices reduce production costs, leading to an increase in supply, which typically results in a decrease in the equilibrium price.

Which of the Following Events Will Cause a Decrease in the Equilibrium