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Answer on Microeconomics Question for Alex

Question #20381
When a company expands...does supply increase first or demand?
And then in the future, what will happen? Will supply or demand increase?
Expert's answer
When the company expands it means that market can offer more, so the supply increase
first. The quantity supplied refers to the amount of a certain good producers
are willing to supply when receiving a certain price. In the future the more is
supplied, the lower the price for goods, the lower the price, the higher the
demand.

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