Econ: Change in Supply or Demand and Equilibrium


market_equilibrium_11b
A market moves to a new equilibrium when there is a shift in either supply (STORES) or demand (TOESIS) which changes the equilibrium price and quantity.

  • Demand increases = price increases and quantity increases
  • Demand decreases = price decreases and quantity decreases
  • Supply increases = price decreases and quantity increases
  • Supply decreases = price increases and quantity decreases

Homework:
1) Read Chapter 6.4-6.5 pp.105-111

Arrows-02-june

 

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