Ceteris paribus, if the market supply of a product increases, then equilibrium quantity will (be) ____ and equilibrium price will (be) ____.

Question

Quizplus · Accepted Answer

With an increase in market supply, there is a greater quantity of the product available, which puts downward pressure on the equilibrium price as sellers compete to sell their products. As a result, buyers can purchase more quantity at a lower price, increasing the equilibrium quantity.

Ceteris Paribus, If the Market Supply of a Product Increases