Question

If the demand for a good falls by less than the supply of the good rises, then the goods equilibrium price will __________ and its equilibrium quantity will __________.

Answer 1

Answer:

fall, rise

Explanation:

If the demand decreases, it has a shift of the curve down, while if the supply increases, the displacement of this curve will be up.

This causes the equilibrium point to move, generating a decrease in the amount of equilibrium, due to the decrease in demand, and an increase in the price of equilibrium due to the increase in supply.