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Using demand and supply diagrams, show the effect of the following changes in the market for Good X and draw the graphs a ) When
Using demand and supply diagrams, show the effect of the following changes in the
market for Good X
and draw the graphs
a When the price of a complement to Good increases,
b When the price of the alternative or substitute of good fills.
c Producers of Good adopt new efficient technology,
d When new firms producing Good enter the market.
e When price of Good falls.
In each ease, explain the assumptions you are making about how the changes affect
supply or demand. You have to think about whether we have a "movement" along or
"shift" in demand or supply curve. Please make sure you elearly label the crmphs You
must also draw the demand and supply eurves in one graph for each qucstion.
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