Assume That the Demand Curve for MP3 Players Shifts to the Right

question 66

Multiple Choice

Assume that the demand curve for MP3 players shifts to the right and the supply curve for MP3 players shift to the left, but the supply curve shifts more than the demand curve.As a result

• A)both the equilibrium price and quantity of MP3 players will decrease.
• B)the equilibrium price of MP3 players will decrease; the equilibrium quantity will increase.
• C)the equilibrium price of MP3 players may increase or decrease; the equilibrium quantity will decrease.
• D)the equilibrium price of MP3 players will increase; the equilibrium quantity will decrease.

---

Definitions:

Global Financial Markets

The worldwide forums that exist for exchanging securities, currencies, and other financial instruments among global participants.

Domestic Markets

Markets within a country's borders that involve the buying and selling of goods and services among its residents.

United Nations

An international organization formed in 1945 to promote peace, security, and cooperation among the world's countries.

Global Peace

A state of harmony among countries and societies around the world, characterized by the absence of conflict and the presence of cooperative international relationships.