When the demand decreases and the supply increases, the equilibrium price and the equilibrium quantity .

increases

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decreases

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remains same

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is ambiguous

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Solution

The correct options are
B decreases
D is ambiguous
The two factors of decrease in demand and the increase in supply both cause the price to go down. However, the equilibrium quantity can be either more or less than before, depending on whether the supply shifted by a greater margin than demand or not.

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