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Ceteris Paribus, to encourage the use of hybrid cars, the government reduced the tax on hybrid car manufacturers even as demand for these cars is

Ceteris Paribus, to encourage the use of hybrid cars, the government reduced the tax on hybrid car manufacturers even as demand for these cars is increasing. Use demand and supply analysis to graphically represent and explain the impact on price and quantity in the market for hybrid cars. (HINT: there is more than one possibility to the changes in price and quantity).

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