1.11. This years summer is expected to be very sunny. Hence the demand for sunglasses increased and...

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1.11. This year’s summer is expected to be very sunny.

Hence the demand for sunglasses increased and now is given by equation Qd ! 1200 " 4P. How is the equilibrium price going to change compared with the scenario described in Problem 1.10? Explain and then fill in the following table to verify your explanation.

P 80 90 100 110 120 Qd Qs

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Microeconomics

ISBN: 9780470563588

4th Edition

Authors: David Besanko, Ronald Braeutigam

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