Economics 2281 · O Level · Price changes

Price changes — practice question

The diagram illustrates the price of a product in year 1 and year 2. Which changes in demand and supply match the price movement in year 2?

  • Ademand falls by $5\%$, supply falls by $10\%$
  • Bdemand falls by $10\%$, supply falls by $5\%$
  • Cdemand unchanged, supply falls by $10\%$
  • Ddemand rises by $15\%$, supply falls by $5\%$

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