Assuming that demand is unchanged, an increase in the number of competing firms in the market will _____.

lead to an increase in the equilibrium quantityCorrect
lead to an increase in the equilibrium price
shift the supply curve to the left
make the supply curve more elastic

Explanation
If there is an increase in the number of competing firms in the market, then the supply curve shifts to the right. The equilibrium quantity increases and the equilibrium price falls.