In the figure given below, D₁ and S₁ are the original demand and supply curves.Figure 3.1

-Refer to Figure 3.1. Given D₁, if supply moves from S₁ to S₂ it implies:
A) quantity supplied has increased.
B) demand will decrease from B to A.
C) a surplus will exist equal to AB.
D) supply has decreased, and equilibrium price and equilibrium quantity will move to G and B respectively.
E) supply has decreased, and equilibrium price and equilibrium quantity will move to E and A respectively.

Question

In the figure given below, D₁ and S₁ are the original demand and supply curves.Figure 3.1
 
-Refer to Figure 3.1. Given D₁, if supply moves from S₁ to S₂ it implies:
A) quantity supplied has increased. 
B) demand will decrease from B to A. 
C) a surplus will exist equal to AB. 
D) supply has decreased, and equilibrium price and equilibrium quantity will move to G and B respectively. 
E) supply has decreased, and equilibrium price and equilibrium quantity will move to E and A respectively.

Quizplus · Accepted Answer

The Answer of In the figure given below, D₁ and S₁ are the original demand and supply curves.Figure 3.1
 
-Refer to Figure 3.1. Given D₁, if supply moves from S₁ to S₂ it implies:
A) quantity supplied has increased. 
B) demand will decrease from B to A. 
C) a surplus will exist equal to AB. 
D) supply has decreased, and equilibrium price and equilibrium quantity will move to G and B respectively. 
E) supply has decreased, and equilibrium price and equilibrium quantity will move to E and A respectively.

In the Figure Given Below, D₁ and S₁ Are the Original