Exhibit 4-3 Supply and demand curves
-Initially the market shown in Exhibit 4-3 is in equilibrium at P₂, Q₂ (E₂) . Changes in market conditions result in a new equilibrium at P₂, Q₄ (E₄) . This change is stated as a(n) :

Question

Exhibit 4-3 Supply and demand curves

-Initially the market shown in Exhibit 4-3 is in equilibrium at P₂, Q₂ (E₂) . Changes in market conditions result in a new equilibrium at P₂, Q₄ (E₄) . This change is stated as a(n) :

Quizplus · Accepted Answer

The change from Q2 to Q4 at the same price level P2 indicates that both supply and demand have increased, leading to a higher equilibrium quantity without a change in price.

Exhibit 4-3 Supply and Demand Curves