Impact of Change in Demand and Supply on Equilibrium Price

Effects Of Change In Demand And Supply On Market Equilibrium

Explain the effect to simultaneous 'increase' in demand and supply on equilibrium price. Represent one of the possible effect to a diagram.

Explain the effect of simultaneous increases in both demand and supply on equilibrium price and quantity. Show on diagram a situation when there is no change in equilibrium price.

What effect will a decrease in demand and an increase in supply have on equilibrium price?

Which of the following statements is/are true ? 1. If increase in demand and supply are of equal magnitude, the price will remain unchanged, but the equilibrium quantity will increase. 2. If increase in demand is of greater magnitude than increase in supply, both equilibrium price and equilibrium quantity will increase. 3. If increase in supply is of greater . magnitude than increase in demand, equilibrium price will fall but equilibrium quantity will increase. Select the correct answer using the code given below:

When will (a) simultaneous increases and (b) simultaneous decreases in both demand and supply not affect the equilibrium price? Explain with the help of diagrams.