10th attempt
Consider a market with an upward-sloping supply curve and a downward-sloping demand curve. Suppose the equilibrium price is initially $17, and the equilibrium quantity is 530 units. Now, suppose both curves (supply and demand) shift. Which of the following are possible?
Choose one or more:
A. Supply increased, demand increased, the new equilibrium price is greater than $17, and we cannot know with certainty whether the new equilibrium quantity is higher, lower, or unchanged.
B. Supply increased, demand decreased, the new equilibrium price is less than $17, and we cannot know with certainty whether the new equilibrium quantity is higher, lower, or unchanged.
C. Supply decreased, demand increased, the new equilibrium price is greater than $17, and we cannot know with certainty whether the new equilibrium quantity is higher, lower, or unchanged.
D. Supply decreased, demand decreased, and we cannot know with certainty whether the new equilibrium price and the new equilibrium quantity are higher, lower, or unchanged.
E. Supply decreased, demand increased, and we cannot know with certainty whether the new equilibrium price and the new equilibrium quantity are higher, lower, or unchanged.
F. Supply increased, demand decreased, and we cannot know with certainty whether the new equilibrium price and the new equilibrium quantity are higher, lower, or unchanged.
G. Supply increased, demand increased, and we cannot know with certainty whether the new equilibrium price and the new equilibrium quantity are higher, lower, or unchanged.
H. Supply decreased, demand decreased, the new equilibrium price is less than $17, and we cannot know with certainty whether the new equilibrium quantity is higher, lower, or unchanged.