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What happens to equilibrium price and quantity when supply and demand increases?If there is an increase in supply for goods and services while demand remains the same, prices tend to fall to a lower equilibrium price and a higher equilibrium quantity of goods and services.
What happens to the equilibrium when demand and supply curve shifts?A shift in the supply curve has a different effect on the equilibrium. Because the demand curve is generally downward sloping, a shift in the supply curve either upward or to the left will result in a higher equilibrium price and a lower equilibrium quantity.
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