For a wood furniture manufacturer, an increase in the cost of lumber will cause the supply curve to:
  • shift to the left.
Graphically, an increase in the number of vegetarians will cause the demand curve for Tofu (a meat substitute) to
  • shift rightward.
The law of demand indicates that as the price of a good increases, the quantity that
  • buyers are able to purchase decreases.
In a competitive market, the market demand is Qd = 70 – 3P and the market supply is Qs = 6P. A price ceiling of $4 will result in a
  • shortage of 34 units.