Consider a Market That Is in Equilibrium

question 93

Multiple Choice

Consider a market that is in equilibrium.If it experiences both a decrease in demand and a decrease in supply,what can be said of the new equilibrium?

• A)The equilibrium price and quantity will both fall.
• B)The equilibrium quantity will definitely fall,while the equilibrium price cannot be predicted.
• C)The equilibrium price will definitely fall,while the equilibrium quantity cannot be predicted.
• D)The equilibrium price and quantity will both rise.

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Definitions:

Appropriate Sample

Refers to a subset of a population selected for analysis or experimentation, which accurately represents the whole in the context of statistical study or research.

In-house Methods

Techniques or processes that are conducted within an organization by its own staff rather than being outsourced to external entities.

Compensation Data

Information regarding the range of pay rates, salaries, and benefits offered to employees in various positions within an industry.

Labour Exceeds

This phrase might refer to situations where the available workforce or effort put into a task surpasses what is necessary or expected, potentially leading to inefficiencies.