Exhibit 4-3 Supply and demand curves

In Exhibit 4-3, an increase in quantity supplied would cause a movement from which equilibrium point to another, other things being equal?

Question

Exhibit 4-3 Supply and demand curves

In Exhibit 4-3, an increase in quantity supplied would cause a movement from which equilibrium point to another, other things being equal?

Quizplus · Accepted Answer

An increase in quantity supplied would cause a movement along the supply curve from point E₁ to E₄, resulting in a new equilibrium point where the supply and demand curves intersect at a higher quantity and price level.

Exhibit 4-3 Supply and Demand Curves