If supply is unchanged, a decrease in the demand for coffee will cause the equilibrium price to: Answers: A. Fall and equilibrium quantity to fall. B. Rise and equilibrium quantity to rise. C. Rise and equilibrium quantity to fall. D. Fall and equilibrium quantity to rise.

Managerial Economics: A Problem Solving Approach
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ISBN:9781337106665
Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor
Publisher:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor
Chapter8: Understanding Markets And Industry Changes
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If supply is unchanged, a decrease in the demand for coffee will cause the equilibrium price to:

 

 

Answers:

A. 

Fall and equilibrium quantity to fall.

 

B. 

Rise and equilibrium quantity to rise.

 

C. 

Rise and equilibrium quantity to fall.

 

D. 

Fall and equilibrium quantity to rise.

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When supply is unchanged and demand for coffee decreases,equilibrium price decreases and equilibrium quantity also decreases.

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