In the Figure Given Below, D₁ and S₁ Are the Original

question 3

Multiple Choice

In the figure given below, D₁ and S₁ are the original demand and supply curves.Figure 3.1

-Refer to Figure 3.1. If demand shifts from D₁ to D₂ and supply shifts from S₁ to S₂:

• A) equilibrium price will rise to F, but equilibrium quantity will remain at B.
• B) equilibrium price will move to C and equilibrium quantity to G.
• C) demand will decrease and supply will increase.
• D) equilibrium price will rise to G, and equilibrium quantity will remain at B.
• E) both equilibrium price and equilibrium quantity will decrease.

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