If the supply curve shifts to the left, the result is a _____ equilibrium price and a _____ equilibrium quantity.

Question

Quizplus · Accepted Answer

When the supply curve shifts to the left, it indicates a decrease in supply. This leads to a higher equilibrium price because the reduced supply increases competition among buyers, and a lower equilibrium quantity because there is less of the good or service available in the market.

If the Supply Curve Shifts to the Left, the Result