A Shift in Equilibrium Price

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When supply decreases, this results in the supply curve shifting to the left

If you recall, the supply curve can shift left for a number of reasons, including increase in price of other goods, and a rise in cost of technology.

When this occurs, it results in both the equilibrium price increasing, and

The equilibrium quantity decreasing

Shifts in Equilibrium Price/Quantity

Changes in the demand/supply of a good will lead to a change in the equilibrium price and quantity of a good

Increase in Demand

When demand increases, this results in the demand curve shifting to the right

If you recall, the demand curve can shift right for a number of reasons, including increase in price of a substitute, fall in price of a complement, and an increase in income.

When this occurs, it results in both the equilibrium price and the equilibrium quantity increasing

Decrease in Demand

When demand decreases, this results in the demand curve shifting to the left

If you recall, the demand curve can shift left for a number of reasons, including decrease in price of a substitute, rise in price of a complement, and a decrease in income.

When this occurs, it results in both the equilibrium price and the equilibrium quantity decreasing

Increase in Supply

When supply increases, this results in the supply curve shifting to the right

If you recall, the supply curve can shift right for a number of reasons, including decrease in price of other goods, fall in cost of technology, and technological advancement.

When this occurs, it results in both the equilibrium price decreasing, and

The equilibrium quantity increasing

Decrease in Supply

A Shift in Equilibrium Price