An Increase in Demand, All Other Things Unchanged, Will Result

question 28

Multiple Choice

An increase in demand, all other things unchanged, will result in a(n) ________ in the equilibrium price and a(n) ________ in the equilibrium quantity.

• A) increase; increase
• B) decrease; decrease
• C) decrease; increase
• D) increase; decrease

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Definitions:

Functional Area

Represents a specific department or section within an organization, focusing on a particular set of tasks or responsibilities.

Lowest Cost

The minimum expense necessary to achieve a specific objective, often considered in decision-making processes.

Flexible Capacity

The capability of a production system to adjust and reallocate its resources to accommodate changes in demand or production requirements efficiently.

Open Ended Wrenches

Tools with a U-shaped opening that grips two opposite faces of the bolt or nut, allowing for manipulation in tight spaces.