Suppose the market for holiday candles was described by the following schedule:

Draw the demand and supply curves and identify the equilibrium price. What effect would a 1,000-unit decrease in demand at every price level have on the demand curve, supply curve, and equilibrium price?

Transcribed Image Text:

PRICE QUANTITY DEMANDED QUANTITY SUPPLIED $6 1,000 6,000 5 2,000 5,000 4 3,000 4,000 3 4,000 3,000 2 5,000 2,000 1 6,000 1,000