-Refer to the above figure. Suppose the demand curve shifts from DA to DB, while the supply curve remains at SA. Which of the following statements is FALSE?
A) There has been an increase in demand.
B) Supply has increased.
C) More consumers in the market might have caused the demand curve to shift.
D) The new equilibrium price is P2, and the new equilibrium quantity is F.

Question

-Refer to the above figure. Suppose the demand curve shifts from DA to DB, while the supply curve remains at SA. Which of the following statements is FALSE?
A) There has been an increase in demand. 
B) Supply has increased. 
C) More consumers in the market might have caused the demand curve to shift. 
D) The new equilibrium price is P2, and the new equilibrium quantity is F.

Quizplus · Accepted Answer

The demand curve shifting from DA to DB indicates an increase in demand, not supply. The supply curve remains at SA, indicating that supply has not changed.

-Refer to the Above Figure