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Market Equilibrium: The intersection of a commodity's demand and supply curves determines the market equilibrium or the state in which market forces are balanced. Demand and supply are equal at equilibrium, and the amount of price to be charged for the products and the quantity to be delivered are set.

As shown in the illustration above. The demand and supply curves intersect at E, which is an initial equilibrium. The demand curve shifts rightward from D to D1 due to an increase in computer demand. Prices will rise from P to P as a result, and the equilibrium quantity will rise from S to S1.

E is an original equilibrium, as indicated in the image above, where the demand and supply curves intersect. A decrease in computer demand will cause the demand curve to shift leftward from D to D1. As a result, prices will decrease from P to P1, and the equilibrium quantity will decrease from Q to Q1.

As shown in the illustration above. When the demand curve Dan and the supply curve S cross, an initial equilibrium is reached. The supply curve shifts rightward from Sto S1 as computer supply grows. Prices will fall from P to P1, while the equilibrium quantity will rise from Q to Q1.

As shown in the illustration above. When the demand curve Dan and the supply curve S cross, an initial equilibrium is reached. The supply curve shifts rightward from Sto S1 as computer supply grows. Prices will fall from P to P1, while the equilibrium quantity will rise from Q to Q1.

So,prices would be lower when the demand falls and/or supply rises.