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Consider the market for a ski resort in northern Idaho. The market initially starts in equilibrium, but the following two events happen simultaneously. First, a
Consider the market for a ski resort in northern Idaho. The market initially starts in equilibrium, but the following two events happen simultaneously. First, a strong winter storm brings in ideal skiing conditions to the resort (with no safety concerns to worry about); and second, the government reduces the resort's regulatory fees for the rest of the year. Explain how each of these events affects either the supply or demand curves and indicate which direction price and quantity change.
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