Beruflich Dokumente
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Supply and
Demand
consumers increase
their demand for
pizza as a result
result: reduction in
equilibrium price and
quantity (to P2,Q2)
follow-on adjustment:
movement of resources
out of the market
leftward shift in the
supply curve to S2
result: increase in
equilibrium price and
quantity (to P2,Q2)
follow-on adjustment:
movement of resources
into the market
rightward shift in the
supply curve to S2
falls
2004: prices moved up again
Starbucks effects
tight competition
needed
rare metal
produced as a by-product
strategic item
prices rising