12. Consider the market for van Gogh paintings and assume no forgeries are possible. a. Is the...

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12. Consider the market for van Gogh paintings and assume no forgeries are possible.

a. Is the supply of van Gogh paintings somewhat elastic, somewhat inelastic, perfectly elastic, or perfectly inelastic? Why?

b. Draw the supply curve for van Gogh paintings.

c. Suppose there are only 10 van Gogh paintings in the world, and the demand curve is Q = 50 – 0.5P. What is the equilibrium price?

d. A tragic fire destroys five of the paintings.

What is the new equilibrium price?

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Microeconomics

ISBN: 9780716759751

1st Edition

Authors: Austan Goolsbee, Steven Levitt, Chad Syverson

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Question Posted: Oct 16, 2024 01:00 AM

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12. Consider the market for van Gogh paintings and assume no forgeries are possible. a. Is the...

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Microeconomics

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