Which of the Following Is Likely to Result in a Higher

question 36

Multiple Choice

Which of the following is likely to result in a higher equilibrium price?

• A)​An increase in both demand and supply.
• B)​A decrease in both demand and supply.
• C)​An increase in demand and a decrease in supply.
• D)​A decrease in demand and an increase in supply.

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Definitions:

Laissez Fair Capitalism

An economic system where private parties are free from government intervention in their economic decisions.

Monopolistic Competition

The market structure that exists when there are fewer businesses than in a pure-competition environment and the differences among the goods they sell are small.