What happens to price if both demand and supply increase at the same time?
Via Scoop.it – Teaching Economics
“This is a favorite question of teachers because the answer is “it depends”. How can an answer depend? We have been taught all our lives that in school (not necessarily life) there is an answer to every question. However in economics the answer often depends on the context of the question, and when both supply and demand shift right, or increase, then the answer of what happens to price is unknown without more information. To begin this discussion lets look at the market for hamburgers. We will then shift both supply and demand…”