Suppose the demand curve for a good shifts rightward,causing the equilibrium price to increase.This increase in the price of the good results in
A) a rightward shift of the supply curve.
B) an increase in quantity supplied.
C) a leftward shift of the supply curve.
D) a downward movement along the supply curve.

Question

Quizplus · Accepted Answer

An increase in demand causes an increase in equilibrium price, which then results in an increase in quantity supplied. This movement occurs along the original supply curve, as there is no reason for the supply curve to shift. Therefore, the correct answer is B).

Suppose the Demand Curve for a Good Shifts Rightward,causing the Equilibrium