Figure 14-9 -Refer to Figure 14-9.When a Firm in a Competitive Market,like

Multiple Choice

Figure 14-9

-Refer to Figure 14-9.When a firm in a competitive market,like the one depicted in panel (a) ,observes market price rising from P₁ to P₂,what is most likely the cause

A) the entrance of new firms into the market
B) the exit of existing firms in the market
C) an increase in market supply from Supply0 to Supply1
D) an increase in market demand from Demand0 to DemanD₁