If both the supply and the demand curves shift to the right, quantity increases but the effect on equilibrium price is indeterminate.

Name: If both the supply and the demand curves shift to the right, quantity increases but the effect on equilibrium price is indeterminate.
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Question

Quizplus · Accepted Answer

When both supply and demand increase, the quantity will definitely increase, but the effect on price depends on the relative magnitudes of the shifts.

If Both the Supply and the Demand Curves Shift to the Right