If the Number of Demanders for Granite Counter Tops Increases

question 202

Multiple Choice

If the number of demanders for granite counter tops increases at the same time as the number of suppliers of granite counter tops decreases and the shift in demand is greater than the shift in supply, which of the following is true?

• A)Both the equilibrium quantity and price will decrease.
• B)Both the equilibrium quantity and price will increase.
• C)The equilibrium price will decrease and the equilibrium quantity will not change.
• D)The equilibrium price will increase and the equilibrium quantity will increase.

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Definitions:

Monetary Damages

Financial compensation awarded to a party in a lawsuit for losses or injuries suffered as a result of the defendant's actions.

Foreseeability

The concept that certain events may reasonably be predicted and thus potentially obligate parties to take preventative measures.

Certainty

The state of being free from doubt or ambiguity, often related to the clear understanding or predictability of an event or outcome.

Novation

The act of replacing an old obligation with a new one, substituting a new party for an original party in an agreement, with the consent of all parties involved.