Using a diagram illustrate the effects of a rightward shift in supply curve on equilibrium price and quantity.

Using a diagram illustrate the effects of a rightward shift in supply curve on equilibrium price and quantity.

Answers

The effects of a rightward shift in supply on equilibrium price and quantity

(i) A rightward shift in supply / increase in supply brings about a drop in equilibrium price (Po to P1)
(ii) A rightward shift in supply / increase in supply brings about an increase in equilibrium quantity (Qo to Q1.

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sharon kalunda answered the question on September 3, 2019 at 12:03

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