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2. (3 points) The market for croissants has demand P = 10 Qd and supply P = 4623. Bakers unionize, so bakeries increase the wages
2. (3 points) The market for croissants has demand P = 10 Qd and supply P = 4623. Bakers unionize, so bakeries increase the wages paid to bakers. Which of the following could be a consequence of the wage increase? A. The price of croissants falls B. The croissant market equilibrium after the wage increase is on a more inelastic portion of the demand curve than the equilibrium before the wage increase. C. The croissant market equilibrium after the wage increase is at the unit elastic point on the demand curve D. Total consumer expenditures on croissants decreases 2+
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