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The market for dog treats is in equilibrium, until the pandemic leads to an decrease in the cost of adopting a dog. Assume the two
The market for dog treats is in equilibrium, until the pandemic leads to an decrease in the cost of adopting a dog. Assume the two goods are complements. A. (2 points) What happens to the demand for dog treats? B. (2 points) What happens to the supply of dog treats? C. (2 points) What happens to the price of dog treats in the new equilibrium? (hint, it might help you to draw a graph, but it is not required) D. (2 points) What happens to the quantity of dog treats in the new equilibrium (hint, increase, decrease, none, ambiguous)
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