A leftward shift of the market demand curve for HDTVs,ceteris paribus,causes equilibrium price to
A)Increase and quantity to decrease.
B)Decrease and quantity to decrease.
C)Increase and quantity to increase.
D)Decrease and quantity to increase.

Question

Quizplus · Accepted Answer

A leftward shift in the demand curve causes a decrease in both price and quantity demanded at equilibrium. This is because the demand for HDTVs has decreased, so consumers are willing to pay less for them and buy fewer of them. The decrease in quantity demanded causes a decrease in price as producers reduce their prices in order to sell their remaining HDTVs.

A Leftward Shift of the Market Demand Curve for HDTVs,ceteris