The market for Good A is in equilibrium. If there is a decrease in the price of an input used to produce Good A, the impact on the market for Good A will be
A. a decrease in equilibrium price but no change in equilibrium quantity.
B. no change in equilibrium price but an increase in equilibrium quantity.
C. a decrease in equilibrium price and an increase in equilibrium quantity.
D. a decrease in equilibrium price and a decrease in equilibrium quantity.
1
Expert's answer
2021-06-29T10:25:30-0400
C. a decrease in equilibrium price and an increase in equilibrium quantity.
Comments
Leave a comment