Explain the Shifts in Demand And/or Supply That Can Result

question 8

Essay

Explain the shifts in demand and/or supply that can result in the following observations: (Assume the demand curve is downward sloping and the supply curve is upward sloping.)
(a) Both price and quantity rise.
(b) Price rises, quantity falls.
(c) Price rises, quantity doesn't change.
(d) Quantity rises, price doesn't change.

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Definitions:

Psychological Capital

A positive psychological state characterized by aspects like self-efficacy, optimism, resilience, and hope, which contributes to an individual’s performance and well-being.

Self-Efficacy

Refers to an individual's belief in their ability to complete tasks or achieve goals.

Resilience

The ability to bounce back or rebound from adversity and setbacks to attain success.

Adversity

Challenges or difficulties that an individual or group faces, often serving as a catalyst for growth or change.