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Question
which of the following can be expected if the price of a good increases? supply will decrease quantity supplied will decrease quantity supplied will increase demand will increase
This question relates to the law of supply, which states that, ceteris paribus, as the price of a good increases, the quantity supplied of that good increases (this is a movement along the supply curve, not a shift in the entire supply curve). A change in price does not shift the supply or demand curve, and higher prices do not reduce quantity supplied or increase demand.
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quantity supplied will increase