Reference no: EM133246090
A change in a factor of demand or a factor of supply (or both) will change the point of market equilibrium in a predictable way. For discussion, consider the following: Explain what will happen to equilibrium price and equilibrium quantity in the following cases:
a. Demand rises and supply is constant.
b. Demand falls and supply is constant.
c. Demand is constant and supply rises.
d. Demand is constant and supply falls.
e. Demand rises by more than supply rises.
f. Demand rises by the same amount that supply rises.
g. Demand rises by less than supply rises.
h. Demand rises by more than supply falls.
i. Demand rises by the same amount that supply falls.
j. Demand rises by less than supply falls.
k. Demand falls by more than supply rises.
l. Demand falls by the same amount that supply rises.
m. Demand falls by less than supply rises.
n. Demand falls by more than supply falls.
o. Demand falls by the same amount that supply falls.
p. Demand falls by less than supply falls.
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