Consider a Market That Is in Equilibrium

Multiple Choice

Consider a market that is in equilibrium. If the market experiences both an increase in demand and a decrease in supply:

A) the equilibrium price and quantity will rise.
B) the equilibrium quantity will rise, but the change in the equilibrium price cannot be predicted.
C) the equilibrium price will rise, but the change in the equilibrium quantity cannot be predicted.
D) the equilibrium price and quantity will fall.