Final answer:
The statement that an increase in supply leads to an increase in equilibrium price is false; it typically decreases the price while increasing the quantity sold. Sellers may sell below equilibrium price for various market-driven reasons.
Step-by-step explanation:
The statement that an increase in supply tends to increase the equilibrium price is false. In economic terms, when the supply of a good increases, assuming the demand remains constant, this leads to a surplus of the product in the market. Suppliers may then reduce their prices to clear the excess stock, which actually decreases the equilibrium price. However, the equilibrium quantity, meaning the amount of goods that are bought and sold, would indeed increase as more goods are available at a lower price.
Now, addressing the statement, "In the goods market, no seller would be willing to sell for less than the equilibrium price," this too is false. There can be various reasons for a seller to sell at a price lower than the equilibrium, such as merchandise being outdated, perishable goods approaching expiry, or an urgent need for liquidity. The equilibrium price is where the quantity supplied equals the quantity demanded at a particular price, but market dynamics allow for deviations from this point.