Assume That Both the Demand Curve and the Supply Curve

question 96

Multiple Choice

Assume that both the demand curve and the supply curve for MP3 players shift to the right 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.

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Definitions:

Well-developed Cleavage

A property of minerals that allows them to break along flat, parallel surfaces with ease, often a result of their crystal structure.

Bedding

Layers of sediment or sedimentary rock laid down in natural processes within bodies of water or on the Earth's surface.

Shiny

A term used to describe a surface or material that reflects light, often associated with gloss or luster.

Prehistoric Fault

A crack or fracture in the Earth's crust that occurred in the geological past, often associated with the movement of tectonic plates.