If there's an upward pressure on price, how does this affect the supply side of the market?

Q: How do I calculate equilibrium price?

A: The equilibrium price is such a price, where the quantity demanded equals quantity supplied.

Q: Which situation best illustrates an effect of the law of supply?

A: Micro economics refers to the branch of economics that deals with individuality instead of the…

Q: What will happen to the market condition if the government set up the price above the equilibrium…

A: Binding price floor refers to the situation where the price of good is set greater than the…

Q: How does the interaction of demand and supply keep a market in balance, at least approximately and…

A: Demand for a commodity is the desire backed by ability and willingness to pay the given price during…

Q: Explain the downward demand spiral and its impact on price.

A: The markets are the place where the buyers of various goods, and services tend to meet up with the…

Q: identify the graph that best demonstrates the impact of a large wildfire that destroys one of the…

A: Avocado is the input used to produce guacamole. This implies that the availability of avocado…

Q: A price below the equilibrium price and quantity between demand and supply will lead to what?

A: Price below the equilibrium price will affect the economy negatively.

Q: Equilibrium price ?

A: Given  P =-3Qd + 150P= 6Qs + 60

Q: What is the price ceilings role in the market?

A: When the authority of the country fixes the maximum price of a commodity at a level lower than the…

Q: How does a price floor set above the equilibrium level affect quantity demanded and quantity…

A: ANS The price floor is the legal restriction imposed by the govt. of a country such that the…

Q: Which of the following changes in the financial market will lead to a decline in interest rates: a.…

A: The financial market is a platform for individuals who are ready to make a deal in securities. In…

Q: If the demand for smartwatches are expected to increase and production costs are expected to…

A: "When the demand for smartwatches is expected to increase and production costs are expected to…

Q: What is the difference between movement along the demand and supply curve due to a change in price…

A: A shift in the demand curve is defined when there is a change in demand; when the price of quantity…

Q: price ceiling cause a shortage?

A: A price ceiling is a legal maximum price that one pays for some good or service. A government…

Q: What are five things that will shift a supply curve to the right?

A: Five things that will shift a supply curve to the right are as follows 1.Increase in technology…

Q: i am having trouble understanding how the law of demand works

A: As per the law of demand, there is an inverse relationship between the price and quantity demanded…

Q: Suppose the demand curve for desktop computers shifts leftward and at the same time supply curve…

A: Given that the demand curve for desktop computers shifts leftward and at the same time supply curve…

Q: Using the graph above, answer the following questions: • What is happening to the supply curve? •…

A: Supply shock is situation where there is sudden increase or decrease in availability of goods more…

Q: If suppliers of tea cut supply in markets, what can we expect to happen to the market for coffee?

A: If tea supply decrease then it will leads to increase in its price and decrease in its quantity in…

Q: Firms will react to a shortage (excess demand) by ________ prices. Why will they do this?

A: Equilibrium is established at such a price where quantity demanded equals quantity supplied.

Q: True or False (Why): If the price charged is less than the equilibrium price, a shortage will occur.…

A: We are authorized to answer one question at a time, since you have not mentioned which question you…

Q: Suppose the Hong Kong government imposes a price ceiling above the equilibrium price of flour. How…

A: The price ceiling is a strategy to stop the price from rising above a specific level. It comes under…

Q: How important is price floor in the market?

A: Price floor: - Price floor is a government policy of setting the minimum price for any good or…

Q: An increase in supply and a decrease in demand occur in a market. What happens to the equilibrium…

A: Any change in the demand and supply would lead both the demand and supply curve to shift leftward or…

Q: What happens to the supply and price when demand goes up ?

A: Demand is defined as an economic term that refers to a customer's ability to purchase goods and…

Q: what is the mechanism by which supply creates its own demand.

A: Demand is a desire to purchase commodities and a will purchase a commodity by  giving  price for a…

Q: Which of the following are determinants of supply ? Select one: a. the price of related goods b.…

A: [Since more than 1 question are posted, only 1st one is answered as per answering policy]…

Q: What happens to the price and quantity when the supply curve is perfectly inelastic, and the demand…

A: Elasticity of supply is defined as type responsiveness of the quantity supplied when price of the…

Q: What is the role of price in market economies

A: When deciding an effective distribution of resources in a market economy, the price of goods plays a…

Q: if supply decreases by 30%, would the price increases by the same amount? if not, why

A: A decrease in supply will make the harmony price rise; the amount requested will decrease. To figure…

Q: Draw supply and demand diagrams for market A for each of the following. Then use your diagrams to…

A: since you have asked multiple questions and according to policy we can solve only 1 question and for…

Q: Why does the supply curve slope upward

A: Supply refers to the producer’s side of the economy. It is the amount of commodity a producer is…

Q: Does a price floor attempt to make a price higher or lower?

A: The market demand curve shows the negative relationship between price of the good and its quantity…

Q: Explain the difference between a movement along a supply

A: A demand bend represents the connection between quantity demanded and price in a given market on a…