When both demand and supply decrease, the equilibrium quantity____ but the change in equilibrium price is ____

CA Foundation · Business Economics · PYQS · September 2025
When both demand and supply decrease, the equilibrium quantity____ but the change in equilibrium price is ____
(A) A. decreases, uncertain
(B) B. increases, constant
(C) C. increases, uncertain
(D) D. decreases, constant

Suggested Answer and Working Notes:

Correct Answer: Option (A)

A. decreases, uncertain

Topics: Price Determination in Different Markets

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