If both supply and demand decrease by the same amount,the equilibrium price
A) does not change.
B) rises.
C) falls.
D) cannot be predicted.
E) None of the answers is correct because the price depends on what happens to the equilibrium quantity.

Question

Quizplus · Accepted Answer

If both supply and demand decrease by the same amount, the equilibrium quantity would decrease, but the equilibrium price will remain the same as the two shifts cancel each other out.

If Both Supply and Demand Decrease by the Same Amount,the