In the short run, an increase in market demand will usually lead to a(n)
a. decrease in price and an increase in quantity.
b. decrease in price and a decrease in quantity.
c. increase in price and an increase in quantity.
d. increase in price and a decrease in quantity.
c
You might also like to view...
The demand for sirloin steak is probably more elastic than the demand for all meat because
A) steak is very expensive. B) people are worried about cholesterol. C) cattle raising is not very profitable. D) there are more substitutes for sirloin steak than for all meats.
Use the following graph of total revenues to answer the question below. 
If the quantity of product X demanded decreases from 16,000 to 10,000 units, then it suggests that the price of X was
A. reduced and the demand is elastic. B. increased and the demand is elastic. C. increased and the demand is inelastic. D. reduced and the demand is inelastic.