If the Supply Curve Is Perfectly Elastic, Then an Increase

question 15

Multiple Choice

If the supply curve is perfectly elastic, then an increase in demand results in no change in the

• A)equilibrium quantity but a large increase in the equilibrium price.
• B)equilibrium quantity but a large decrease in the equilibrium price.
• C)equilibrium price but a decrease in the equilibrium quantity equal to the change in demand.
• D)equilibrium price but an increase in the equilibrium quantity equal to the change in demand.
• E)equilibrium quantity or the equilibrium price.

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