S1 Scenario 2 PRICE The position of the individual firm's demand curve will slightly vary with every change in the market price. Sellers in a market could change MP2* the price if demand increases. In a perfectly competitive market, it is essential that all MP1* sellers respond to information provided and adjust their price if demand changes. So, they may alter their behavior over time by revising their price/production decisions to reflect changes in market price. Suppose the Market Price for a good rose from MP1* to MP2*. What would happen to the Market Demand Curve "IF" D1 there was a positive shift in demand? Use the graph to the right to illustrate a Market QUANTITY Shift in Demand. Market Supply/Demand Curve