737EconomicsMedium
Suppose there is an increase in the both the supply and demand for personal computers Further, suppose the supply of personal computer increase more than demand for personal computers In the market for personal computers i the market for personal computers, we would expect?
Athe equilibrium quantity to rise and the equilibrium price to remain constant
Bthe change in the equilibrium quantity to be ambiguous and the equilibrium price to fall.
Cthe equilibrium quantity to rise and the equilibrium price to fall
Dthe equilibrium quantity to rise and the change in the equilibrium price to be ambiguous
Ethe equilibrium quantity to rise and the equilibrium price to rise
Correct answer
C. the equilibrium quantity to rise and the equilibrium price to fall
Explanation
The correct answer is the equilibrium quantity to rise and the equilibrium price to fall.