If the market price for bonds is higher than the equilibrium price, what is the result, and

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If the market price for bonds is higher than the equilibrium price, what is the result, and what will change to bring about equilibrium as price falls, ceteris paribus?

a. Shortage; quantity demanded will increase and quantity supplied will decrease.

b. Surplus; quantity demanded will increase and quantity supplied will decrease.

c. Surplus; quantity demanded will decrease and quantity supplied will increase.

d. Shortage; quantity demanded will decrease and quantity supplied will increase.

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Money, Banking, Financial Markets and Institutions

ISBN: 978-0538748575

1st edition

Authors: Michael Brandl

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Question Posted: Jun 21, 2019 06:35 AM

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If the market price for bonds is higher than the equilibrium price, what is the result, and

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c Surplus quant...View the full answer

Money, Banking, Financial Markets and Institutions

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