Which of the following ALWAYS results in an increase in price and quantity?
A)an increase in supply and a decrease in demand
B)an increase in demand with no change in supply
C)an increase in supply with no change in demand
D)a decrease in demand and supply

Question

Quizplus · Accepted Answer

An increase in demand with no change in supply results in a shift of the demand curve to the right, which causes both price and quantity to increase. This is because there is more demand for the same amount of supply, so suppliers can charge a higher price and sell more units.

Which of the Following ALWAYS Results in an Increase in Price