Concept 2 : Price Changes Flashcards
1
Q
When there is an extension in demand, the demand curve should shift in which direction?
A
Right
2
Q
When there is a contraction in demand, the demand curve should shift in which direction?
A
Left
3
Q
Where there is lower demand for a product, there will be a …….. of a product
A
Surplus
4
Q
Supply there has to …….. to the new equilibrium price
A
Contract
5
Q
Where there is an increase in supply, the shift causes the price to……
A
Contract
6
Q
Therefore, demand has to ……. to the new equilibrium price
A
Extend
7
Q
Where there is a decrease in supply, the causes price too…..
A
Extend
8
Q
Therefore, demand has to ….. to the new equilibrium price
A
Contract
