Exhibit 4-2 Supply and demand curves

-In Exhibit 4-2,a decrease in quantity demanded would cause a move from which equilibrium point to another,other things being equal?

Question

Exhibit 4-2 Supply and demand curves
 
-In Exhibit 4-2,a decrease in quantity demanded would cause a move from which equilibrium point to another,other things being equal?

Quizplus · Accepted Answer

A decrease in quantity demanded would cause a movement from equilibrium point E₁ to E₂, other things being equal. This is because a decrease in quantity demanded would shift the demand curve to the left, causing the equilibrium price and quantity to decrease.

Exhibit 4-2 Supply and Demand Curves