When the Demand Curve Shifts Rightward and the Supply Curve

question 189

Multiple Choice

When the demand curve shifts rightward and the supply curve shifts leftward, then the equilibrium price ________ and the equilibrium quantity ________.

• A) rises; decreases
• B) falls; increases
• C) rises; probably changes but the direction of the change cannot be determined
• D) probably changes but the direction of the change cannot be determined; increases

---

Definitions:

Social Influence

The process by which individuals change their thoughts, feelings, or behaviors as a result of interacting with others or being exposed to others' influence.

Conspicuous Waste

The disposal of valuable goods to demonstrate wealth.

Conspicuous Consumption

The purchase of expensive goods simply because they are valuable, not because there is any innate satisfaction in them.

Bureaucracy

A rational organization designed to complete many routine tasks as efficiently as possible.