Which of the Following Events Would Result in an Increase

question 234

Multiple Choice

Which of the following events would result in an increase in equilibrium price and an ambiguous change in equilibrium quantity?

• A)an increase in supply and an increase in demand
• B)an increase in supply and a decrease in demand
• C)a decrease in supply and an increase in demand
• D)a decrease in supply and a decrease in demand

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Definitions:

Lessor's Cost

The expenses incurred by a lessor (the property owner) when leasing out an asset, including maintenance, taxes, and any other costs related to the asset's upkeep.

Operating Lease

Usually a shorter-term lease where the lessor is responsible for insurance, taxes, and upkeep. Often cancellable on short notice.

Sale And Leaseback

A financial lease in which the lessee sells an asset to the lessor and then leases it back.