Question
suppose the price of grapes increases and the demand for bananas increases. You determine that these goods must be substitutes. A nasty fungus sharply reduces
suppose the price of grapes increases and the demand for bananas increases.
You determine that these goods must be
substitutes. A nasty fungus sharply reduces the supply of
flour for breadflourforbread. What will happen to the equilibrium price and quantity of both
toast and eggs as a result of this event?
Part 3: Using the line drawing tool, illustrate the impact of the reduced supply of
flour for bread flour for bread
on the market fo toast by either drawing a new supply or demand curve. Label the new curve either S2 OR D2
Using the point drawing tool, illustrate the new equilibrium in the
toast market. Label this point 'A'.
please show me a graph maybe?
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