When the supply curve shifts out (to the right) and the demand curve shifts in (to the left), the equilibrium price will:

Question

Quizplus · Accepted Answer

When the supply curve shifts right, it indicates an increase in supply, which tends to lower prices. Simultaneously, when the demand curve shifts left, it indicates a decrease in demand, which also tends to lower prices. Therefore, the equilibrium price will decrease.

When the Supply Curve Shifts Out (To the Right) and the Demand