Answer:
Equilibrium quantity will increase but we cannot say for sure what will happen to equilibrium price.
Explanation:
Last statement is correct:
Whenever the supply and demand moves in the same direction that is if one increases other also increases or vice-versa.
Then, the quantity can be determined but the price cannot be determined.
As with decrease in the supply, the quantity supplied will be less, and since demand is also less, the quantity at equilibrium will also be less, and will be identified properly.
But as we discuss the price, it not only depends on the demand and supply, but would depend on consumer as well as producer behavior.
The consumer wants to buy at less price, but the producer will tend to sale it at a higher price, therefor, with this pressure which is inverse in nature, the degree or range of price can be identified but that the price cannot be determined, it might increase or decrease.
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<h3><u>Why is it crucial to use effective presentation methods?</u></h3>
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Learn more about presentations with the help of the given link:
brainly.com/question/13285482
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Answer:
The price of corn increases, but the effect on the amount of equilibrium cannot be determined without further information.
Explanation:
Due to the increase in both the biofuel that is produced from corn and the costs of field production of corn oil, it is obvious that an increase in demand also increases corn grain.
However, in order to quantify the imbalance that was generated from these new demands and offers, more quantification information is needed, so it is obvious that an imbalance was generated but with the exposed data it cannot be quantified.