Micro Equilibrium

If the demand and supply both increase​ equally, then the equilibrium price​ ________ and the equilibrium quantity​ ________.

does not change; increases

A competitive market is in equilibrium. Then there is a decrease in demand and a decrease in supply. The equilibrium price​ ________, and the equilibrium quantity​ ________.

perhaps changes but we​ can't say if it​ rises, falls, or stays the​ same; decreases

Suppose the equilibrium price of movie tickets is​ $10. If the supply curve for movies shifts​ __________, the equilibrium price will​ ______.

rightward; decrease

If a freeze destroys oranges before they are​ harvested, the equilibrium price of an orange​ ________ and the equilibrium quantity​ ________.

rises; decreases

Assume a competitive market is in equilibrium. There is an increase in​ demand, but no change in supply. As a result the equilibrium price​ ________, and the equilibrium quantity​ ________.

rises; increases

If a market begins in equilibrium and then the demand curve shifts​ leftward, a

surplus is​ created, which is eliminated by a fall in price.

If the demand curve for desktop computers shifts rightward and at the same time the supply curve shifts​ leftward, then

the equilibrium price definitely rises

When a surplus of rice​ occurs

the price of rice falls

If the supply of solar panels​ increases,

the price of solar panels decreases and the quantity increases

Market equilibrium occurs when

the quantity demanded equals the quantity supplied

If the price is below the equilibrium​ price,

there is a shortage

Both the demand for and supply of cars changes in France. You observe that the quantity of cars does not change but the price rises.​ Thus, which of the following​ occurred?

Demand increased and supply decreased by an equal amount.

For​ consumers, taco chips and salsa are complements. If the price of salsa​ rises, what is the effect on the equilibrium price and quantity of taco​ chips?

The equilibrium price of taco chips falls and the equilibrium quantity decreases

A surplus of cardboard boxes means that

at the current price of a cardboard​ box, the quantity demanded is less than the quantity supplied.