Consider a Market That Is in Equilibrium

question 3

Multiple Choice

Consider a market that is in equilibrium. If the market experiences a decrease in supply:

• A) the equilibrium price and quantity will rise.
• B) the equilibrium price will rise and the equilibrium quantity will fall.
• C) the equilibrium price and quantity will fall.
• D) the equilibrium price will fall and the equilibrium quantity will rise.

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