If Supply and Demand Both Simultaneously Increase

question 281

Multiple Choice

If supply and demand both simultaneously increase

• A) the market clearing price definitely rises, and the equilibrium quantity definitely falls.
• B) the market clearing price definitely rises, and the effect on the equilibrium quantity is indeterminate.
• C) the market clearing price definitely falls, and the effect on the equilibrium quantity is indeterminate.
• D) the effect on the market clearing price is indeterminate, and the equilibrium quantity definitely rises.

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Definitions:

Diagnose Information

The process of analyzing information to identify problems, causes, and possible solutions.

Breakdown

A failure in communication or operations, where a system, relationship, or discussion ceases to function effectively.

Attending Behaviors

The actions or practices of being present and focused on the speaker during a conversation.

Coordinated Interaction

The process where parties in a negotiation or collaboration work together in a structured manner to achieve a common goal.