Suppose that demand for good increases and at the same time


Suppose that demand for good increases and, at the same time, supply of the good decreases. What would happen in the market for the good?

a. Equilibrium price would decrease, but the impact on equilibrium quantity would be ambiguous.

b. Equilibrium price would increase, but the impact on equilibrium quantity would be ambiguous.

c. Equilibrium quantity would decrease, but the impact on equilibrium price would be ambiguous.

d. Equilibrium quantity would increase, but the impact on equilibrium price would be ambiguous.

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Business Economics: Suppose that demand for good increases and at the same time
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