Post Utme Redeemers University 2023 Economics Question 1

Practice objective / multiple choice question 1 from the 2023 Post Utme Redeemers University Economics examination.

Post Utme Redeemers University 2023 Economics Objective / Multiple Choice
Question 1 POST_UTME_REDEEMERS_UNIVERSITY • 2023 • ECONOMICS • objective
Post Utme Redeemers University 2023 Economics Question 1 diagram

Consider a perfectly competitive market with a downward-sloping demand curve and a horizontal supply curve. If the market price is initially at P1 and the quantity demanded is Q1, and then a shift in the demand curve causes the new market price to be P2, which of the following is true?

Answer Options

A. The quantity demanded increases from Q1 to Q2.
Correct Answer B. The quantity demanded decreases from Q1 to Q2.
C. The quantity supplied increases from Q1 to Q2.
D. The quantity supplied decreases from Q1 to Q2.
Correct Answer
B
Correct Option:
The quantity demanded decreases from Q1 to Q2.

About This Question

This is Post Utme Redeemers University 2023 Economics Question 1. It is one of the objective questions from the 2023 Post Utme Redeemers University Economics examination.

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