The equilibrium price and quantity of bread have both increased. What change in this market causes these changes in price and quantity?

Question

Quizplus · Accepted Answer

When both supply and demand increase but demand increases by a greater amount, it leads to a higher equilibrium price and quantity. This is because the greater increase in demand compared to supply pushes prices up while still resulting in a higher quantity sold.

The Equilibrium Price and Quantity of Bread Have Both Increased