What happens to equilibrium price when simultaneously demand increases and supply decreases?

A) Equilibrium price will increase.
B) Equilibrium price will decrease.
C) Equilibrium price will remain the same.
D) Equilibrium price may increase,decrease,or remain the same depending on the magnitude of the shifts in demand and supply.

Equilibrium Price

The price at which the quantity of goods supplied is equal to the quantity of goods demanded.

Demand

How much of a service or product buyers intend and are financially able to acquire at various price intervals during a designated period.

Supply

The total amount of a specific good or service that is available to consumers in the market.