Respuesta :
Answer: C.increase the quantity supplied and decrease the quantity demanded of X.
Explanation:
The options to the question are:
If the demand and supply curves for product X are stable, a government-mandated increase in the price of X will:
A. increase the supply of X and decrease the demand for X.
B. increase the demand for X and decrease the supply of X.
C.increase the quantity supplied and decrease the quantity demanded of X.
D. decrease the quantity supplied of X and increase the quantity demanded of X.
Demand curve is simply a graph that shows how demand for a good or service varies will vary with price changes while supply curve depicts the correlation that exist between the cost of a product and its quantity supplied.
If the demand and supply curves for product X are stable, a government-mandated increase in the price of X will lead to an increase the quantity supplied and reduction in the quantity demanded of X. This is because suppliers will supply more products since price has risen while due to the price increase there'll be lower demand by consumers.
