Post Utme Aaua 2024 Economics Question 6

Practice objective / multiple choice question 6 from the 2024 Post Utme Aaua Economics examination.

Post Utme Aaua 2024 Economics Objective / Multiple Choice
Question 6 POST_UTME_AAUA • 2024 • ECONOMICS • objective

Consider a perfectly competitive market with n firms, each producing a homogeneous product. If the market demand curve is downward sloping, what is the likely effect on the market supply curve if the number of firms increases?

Answer Options

A. The market supply curve shifts to the left.
Correct Answer B. The market supply curve shifts to the right.
C. The market supply curve remains unchanged.
D. The market supply curve becomes vertical.
Correct Answer
B
Correct Option:
The market supply curve shifts to the right.

About This Question

This is Post Utme Aaua 2024 Economics Question 6. It is one of the objective questions from the 2024 Post Utme Aaua Economics examination.

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