With demand remaining unchanged, which of the following is likely to happen if the supply curve shifts to the left?
A) The equilibrium price and quantity will rise.
B) The equilibrium price will rise and the equilibrium quantity will fall.
C) There will be no change in the equilibrium price or quantity.
D) The equilibrium price and quantity will fall.

Question

Quizplus · Accepted Answer

When the supply curve shifts to the left, it indicates a decrease in supply while demand remains unchanged. This typically leads to an increase in the equilibrium price due to the scarcity of the product and a decrease in the equilibrium quantity because there are fewer goods available for sale.

With Demand Remaining Unchanged, Which of the Following Is Likely