Question

Assume that consumers' incomes and the number of sellers in the market for good A (a normal good) both decrease. Based upon this information we can conclude, with certainty, that equilibrium:

Answer 1

Answer:

Quantity will Increase

Explanation:

As we know that when market is in equilibrium so the demand curve should be intersected the supply curve. At the time when there is an increase in suppliers so supply curve shift rightward due to which the consumer income would increase and this result in more demand. So the demand could be shift in rightward

So here the price should be the same but the quantity is increased