A Competitive Market Is in Equilibrium

question 332

Multiple Choice

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

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

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Definitions:

Alveoli

Small air bladders in the lungs responsible for the transfer of oxygen and carbon dioxide.

Gas Exchange

The process by which living organisms swap oxygen for carbon dioxide with the surrounding environment.

Parabronchi

Tubular structures in the lungs of birds that allow for the exchange of gases (oxygen and carbon dioxide) during respiration.

Diffuse

Spread out over a large area; not concentrated in one place; used to describe scattering of light, cells, or other substances.