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MMLU / Suppose the market for roses is currently in equilibrium. If the supply of roses…

Problem

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question

Suppose the market for roses is currently in equilibrium. If the supply of roses falls, while at the same time the demand for roses rises, what can you say about the price and quantity of roses in the market?

choices

  1. Price and quantity both rise.
  2. Price rises, but the change in quantity is ambiguous.
  3. Price and quantity both fall.
  4. Quantity rises, but the change in price is ambiguous.

subject

high_school_microeconomics

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