Assume a Competitive Market Is in Equilibrium

question 159

Multiple Choice

Assume a competitive market is in equilibrium.There is an increase in demand,but no change in supply.As a result the equilibrium price ________,and the equilibrium quantity ________.

• A) rises; increases
• B) rises; does not change
• C) falls; does not change
• D) falls; decreases
• E) falls; increases

---

Definitions:

Sanctioned

Given authoritative approval or permission; also can mean subjected to a penalty for wrongdoing.

Third Party's Expertise

The specialized knowledge or skill possessed by an external individual or entity, which can influence or contribute to a situation or negotiation.

Procedural Nature

Describes the characteristic of being based on or adhering to established procedures or methods.

Process Consultants

Professionals who assist organizations or groups in understanding and improving their internal processes, especially concerning decision-making and problem-solving.