If decrease in supply is less than the decrease in demand, then:
A. Both equilibrium price and quantity increase.
B. Both equilibrium price and quantity decrease.
C. Equilibrium price increases and quantity decreases.
D. Equilibrium price increases and quantity increases.
A. Both equilibrium price and quantity increase.
B. Both equilibrium price and quantity decrease.
C. Equilibrium price increases and quantity decreases.
D. Equilibrium price increases and quantity increases.
Correct Answer – (b)