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How would each of the following affect the equilibrium price and quantity for air travel? Therapeutics are developed for Covid-19, and there is no longer
- How would each of the following affect the equilibrium price and quantity for air travel?
- Therapeutics are developed for Covid-19, and there is no longer a health risk from the virus;
- The price of hotels and resorts increases (assume that hotels are a complement for air travel);
- The price of jet fuel dramatically increases;
- New technology is developed that reduces the cost of producing aircraft; and
- The government institutes a price ceiling below the equilibrium price for air travel.
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