when supply increases and the (downward - sloping) demand curve remains in the same position, \na. price…
when supply increases and the (downward - sloping) demand curve remains in the same position, \na. price falls and equilibrium quantity rises.\nb. price rises and equilibrium quantity falls.\nc. price rises and equilibrium quantity rises.\nd. price falls and equilibrium quantity falls.
Answer
Brief Explanations:
When supply increases with demand constant, the supply - demand equilibrium shifts. More supply in the market leads to a surplus at the initial price, forcing sellers to lower prices. As price falls, quantity demanded increases according to the law of demand, resulting in a higher equilibrium quantity.
Answer:
A. price falls and equilibrium quantity rises.