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This question belongs to Commerce Economics
Economics
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When equilibrium price rises but equilibrium quantity remains unchanged, the cause is

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Correct Answer: Option C
When equilibrium price rises but equilibrium quantity remains unchanged, the cause is supply decreases and demand increases. As price increases, it serves as an incentive for suppliers to increase supply and also leads to a fall in demand. It is important to realize that these processes continue to operate until a new equilibrium is established.
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1 Comment
Wani
Wani 5 years ago
As the price increases, supply should increase and demand should decrease...
I can not get the answer of this question..
Can any body explain?