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Commerce · Q62

Economics

Graduate and Post Graduate · Commerce · question 62

Q62

In market equilibrium, supply is vertical line. The downward sloping demand curve shifts to the right. Then

A.
Price will fall
B.
Price remains same
C.
Price will rise
Answer
D.
Quantity rises

Answer: Option C

Solution

Answer: Option C
Solution:
In market equilibrium, supply is vertical line. The downward sloping demand curve shifts to the right, then Price will rise.