Which of the following combinations of changes in supply and demand (listed in the same order) is likely to cause an indeterminate change in price?

Question

Quizplus · Accepted Answer

When both supply and demand increase, the effect on price is indeterminate because the increase in demand tends to raise the price, while the increase in supply tends to lower it. The net effect on price depends on the relative magnitudes of the shifts.

Which of the Following Combinations of Changes in Supply and Demand