Author Question: If the demand for bicycles increases, a. the quantity demanded decreases b. equilibrium price ... (Read 75 times)

EAugust · **on:** Jul 1, 2018

If the demand for bicycles increases,
a. the quantity demanded decreases
b. equilibrium price increases and equilibrium quantity decreases
c. equilibrium price decreases and equilibrium quantity increases
d. quantity supplied increases
e. quantity supplied decreases

Question 2

Attempts are being made to develop a biodegradable plastic using agricultural produce such as potatoes. If these attempts are successful, what will happen to the equilibrium price and quantity of potatoes?
a. Price will increase and quantity decrease.
b. Price will increase and quantity increase.
c. Price will decrease and quantity increase.
d. Price will decrease and quantity decrease.
e. No change in equilibrium price and quantity will occur.