If consumer tastes for electric cars increase over the next 10 years and there is no change in supply,we expect to see an increase in the demand for electric cars,higher electric car prices,and an increase in the equilibrium quantity of electric cars.

Question

Quizplus · Accepted Answer

According to the law of demand, an increase in consumer demand for electric cars will lead to an increase in the equilibrium price of electric cars and an increase in the quantity of electric cars sold. This is because the increase in demand will create a shortage of electric cars, leading to higher prices as consumers compete for the limited supply. As a result, electric car manufacturers are likely to increase production in order to meet the higher demand, eventually leading to an increase in the equilibrium quantity of electric cars.

If Consumer Tastes for Electric Cars Increase Over the Next