Drawing the supply curve and the demand curve on the same graph helps show how price is determined.

Name: Drawing the supply curve and the demand curve on the same graph helps show how price is determined.
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Question

Quizplus · Accepted Answer

Drawing the supply and demand curves on the same graph allows us to see where the two curves intersect, which is the equilibrium point where the price is determined. At this point, the quantity supplied and the quantity demanded are equal, resulting in an efficient allocation of resources.

Drawing the Supply Curve and the Demand Curve on the Same