Final answer:
The correct match to the given scenarios with their corresponding changes in equilibrium price and equilibrium quantity:
1. An increase in both demand and supply.
- Change in equilibrium price: Uncertain (depends on the magnitude of the shifts)
- Change in equilibrium quantity: Increase
2. An increase in demand.
- Change in equilibrium price: Increase
- Change in equilibrium quantity: Uncertain (depends on the magnitude of the demand increase)
3. A decrease in demand.
- Change in equilibrium price: Decrease
- Change in equilibrium quantity: Uncertain (depends on the magnitude of the demand decrease)
4. An increase in supply.
- Change in equilibrium price: Decrease
- Change in equilibrium quantity: Increase
Step-by-step explanation:
In scenario 1, when both demand and supply increase, the equilibrium quantity is expected to increase. However, the effect on equilibrium price is uncertain because the increase in demand may push prices up, while the increase in supply may push prices down. The final impact on price will depend on the magnitude of the shifts.
In scenario 2, an increase in demand will lead to an increase in equilibrium price. More people wanting to buy the product will drive up the price. The change in equilibrium quantity, however, is uncertain and depends on the magnitude of the demand increase.
In scenario 3, a decrease in demand will result in a decrease in equilibrium price. Fewer people wanting to buy the product will cause prices to drop. The change in equilibrium quantity is uncertain and depends on the magnitude of the demand decrease.
In scenario 4, an increase in supply will cause a decrease in equilibrium price. With more of the product available, the price will decrease. Additionally, the equilibrium quantity will increase as more of the product is bought and sold.
Your question is incomplete, but most probably the full question was:
Match each of the following to its results:
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1. An increase in both demand and supply.
2. An increase in demand.
3. A decrease in demand.
4. An increase in supply.
A decrease in equilibrium price but an increase in equilibrium quantity.
An increase in equilibrium quantity.
An increase in both equilibrium price and equilibrium quantity.
A decrease in both equilibrium price and equilibrium quantity.