When demand increases and the demand curve shifts to the right, equilibrium price ________ and equilibrium quantity ________.

Question

Quizplus · Accepted Answer

When demand increases, there is a higher quantity of goods or services that consumers want to purchase at any given price. This causes the demand curve to shift to the right. As a result, both equilibrium price and quantity increase because suppliers are willing to supply a larger quantity of goods or services at a higher price to meet the increased demand.

When Demand Increases and the Demand Curve Shifts to the Right