When demand increases, the equilibrium price and the equilibrium quantity .

Question

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When demand increases, there is an increase in the quantity of goods or services consumers want to purchase at any given price level. Therefore, the equilibrium price will rise as suppliers seek to take advantage of this increased demand. Additionally, the equilibrium quantity will also increase as suppliers produce more to meet the higher demand.

When Demand Increases, the Equilibrium Price and the Equilibrium Quantity