$$\text { Leftward shift in demand } + \text { unchanged supply curve } =$$ lower equilibrium price and smaller equilibrium quantity.

Question

Quizplus · Accepted Answer

When the demand curve shifts leftward, it means that consumers are willing to buy less at any given price. With an unchanged supply curve, this means that there will be a surplus of goods at the previous equilibrium price, leading to suppliers lowering the price to sell off the excess inventory. This results in a lower equilibrium price and a smaller equilibrium quantity. A leftward shift in demand means that consumers are willing to buy less at any given price. When combined with an unchanged supply curve, this puts downward pressure on the equilibrium price since there is now a surplus of goods. Additionally, the lower quantity demanded means that there will be less production, leading to a smaller equilibrium quantity.

Leftward shift in demand + unchanged supply curve =\text { Leftward shift in demand } + \text { unchanged supply curve } = Leftward shift in demand + unchanged supply curve =

$\text { Leftward shift in demand } + \text { unchanged supply curve } =$