A Competitive Market Is in Equilibrium

question 111

Multiple Choice

A competitive market is in equilibrium.Then there is a decrease in demand and a decrease in supply.The equilibrium price ________,and the equilibrium quantity ________.

• A) rises; decreases
• B) perhaps changes but we can't say if it rises, falls, or stays the same; decreases
• C) falls; increases
• D) perhaps changes but we can't say if it rises, falls, or stays the same; increases
• E) rises; increases

---

Definitions:

Safer

Relates to conditions, practices, or items that minimize or reduce risk and enhance security.

Market Wage Rate

The average or prevailing wage paid to workers in a specific market or industry.

Out-of-town Travel

Journeys made to destinations outside one's usual residence or place of work, often implying leisure or business travel that takes place away from the local area.

Work Hours

The specific times or period during which an employee is expected to carry out their job duties.