Essay
Use the supply and demand model to explain what happens to the equilibrium price and the equilibrium quantity for pasta in the following cases:
(A) There is a lare expansion in the nunber of firm producing pasta.
(B) It is witely publicized in the press that pasta i5n't as healthful as previdusly thaught.
(C) There is a sudiden increase in the price of paste flour, which is used to produce paste.
(D) Pasta suddenly becames papular because amavie idol pramates it in televisian commercials.
Correct Answer:

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(A) Supply shift right increasing the eq...View Answer
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Correct Answer:
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