Suppose the Government Finds a Major Defect in One of a Company's

question 62

Multiple Choice

Suppose the government finds a major defect in one of a company's products and demands that the product be taken off the market. We would expect that the

• A)supply of existing shares of the stock and the price will both rise.
• B)supply of existing shares of the stock and the price will both fall.
• C)demand for existing shares of the stock and the price will both rise.
• D)demand for existing shares of the stock and the price will both fall.