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Given the initial demand and supply curves for prescription drugs and an equilibrium price and quantity, predict the direction of change of the equilibrium price
Given the initial demand and supply curves for prescription drugs and an equilibrium price and quantity, predict the direction of change of the equilibrium price and quantity if the following occur:
More consumers enter the market.
The price of nonprescription drugs, which are substitutes, falls.
The price of bottled water, a complement, falls.
Consumers become more enamored with the wonders of modern drugs.
Consumers become better educated about the dangers of taking excess drugs.
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