Consider a scenario where a new technology reduces production costs (supply shifts right) and consumer preferences shift towards a product (demand shifts right). What is the likely impact on the market?

• A. Equilibrium price decreases, and equilibrium quantity is ambiguous.
• B. Equilibrium price is ambiguous, and equilibrium quantity increases.
• C. Equilibrium price increases, and equilibrium quantity is ambiguous.
• D. Both equilibrium price and quantity decrease.

Answer: (B)