When demand decreases and there is no change in supply, both equilibrium price and quantity will _________.

decrease

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increase

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remain unchanged

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be zero

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Solution

The correct option is A decrease
In case of decrease of demand and no change in supply the demand curve will shift towards the left from DD to D1D1. The equilibrium quantity and price both will decrease.

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When demand decreases and there is no change in supply, both equilibrium price and quantity will _________.

The correct option is A decreaseIn case of decrease of demand and no change in supply the demand curve will shift towards the left from DD to D1D1. The equilibrium quantity and price both will decrease.

The correct option is A decrease
In case of decrease of demand and no change in supply the demand curve will shift towards the left from DD to D1D1. The equilibrium quantity and price both will decrease.