ECONOMICS
ECONOMIC SYSTEMS
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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I and III
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I and IV
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II and III
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II and IV
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Detailed explanation-1: -An increase in demand, all other things unchanged, will cause the equilibrium price to rise; quantity supplied will increase. A decrease in demand will cause the equilibrium price to fall; quantity supplied will decrease.
Detailed explanation-2: -The answer is C. In general, equilibrium price will increase when demand increases or supply decreases, or both.
Detailed explanation-3: -Answer and Explanation: The rise in the number of buyers results in an increase in the demand curve and a decrease in the cost of producing the product results in an increase in the supply curve. It means the equilibrium price remains the same and equilibrium quantity rises into an economy.
Detailed explanation-4: -An dcrease in supply will cause an increase in the equilibrium price and a decrease in the equilibrium quantity of a good. 1.