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Elan Coil [88]
3 years ago
15

A recent study determined that, at the current market price, there is a shortage of widgets in Pleasantville. If the market for

widgets is allowed to adjust, the ultimate result will be: a. a decrease in price and an increase in the quantity supplied. b. an increase in price and an increase in the quantity supplied. c. a decrease in price and an increase in the quantity demanded. d. an increase in price and an increase in the quantity demanded.

Business
2 answers:
SOVA2 [1]3 years ago
6 0

Answer:

The answer is b. an increase in price and an increase in the quantity supplied.

Explanation:

As shown in the diagram. The price will move to equilibrium, therefore price increases and quantity supplied increases.

Illusion [34]3 years ago
6 0

Answer:

The correct answer is letter "B": an increase in price and an increase in the quantity supplied.

Explanation:

Shortages are the results of unmatched quantity supplied and quantity demanded. In such cases, by supply law, <em>an increase in price would cost an increase in the quantity supplied. This will cause the quantity demanded to decrease</em> thus as long as the quantity supplied increases and the quantity demand decreases there will be a point at which both of them will coincide at a certain price which will be the <em>equilibrium point</em>.

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3 0
3 years ago
The point where P1 and Q1 intersects represents the
Lena [83]
Good evening, Benedettoanna24!

The point where P1 and Q1 intersects represent the equilibrium (Q) price, a price that represents the same amount of supply and demand in the market of that product.

I hope this answer has satisfied your needs, and if you have anymore questions, feel free to ask. Have a good night!
5 0
4 years ago
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Answer:

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