(Figure: Goods with Fixed Capacities) Based on the graph, we see that an increase in supply leads to a(n) _____ in price for a small network with fixed capacity and a(n) _____ in price for a non-network good.

A) increase; decrease
B) increase; increase
C) decrease; increase
D) decrease; decrease

Question

(Figure: Goods with Fixed Capacities) Based on the graph, we see that an increase in supply leads to a(n) _____ in price for a small network with fixed capacity and a(n) _____ in price for a non-network good.

A) increase; decrease 
B) increase; increase 
C) decrease; increase 
D) decrease; decrease

Quizplus · Accepted Answer

The Answer of (Figure: Goods with Fixed Capacities) Based on the graph, we see that an increase in supply leads to a(n) _____ in price for a small network with fixed capacity and a(n) _____ in price for a non-network good.

A) increase; decrease 
B) increase; increase 
C) decrease; increase 
D) decrease; decrease

(Figure: Goods with Fixed Capacities) Based on the Graph, We