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    Microeconomics Principles for a Changing World
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    Exam 14: Network Goods
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    (Figure: Network Goods and Fixed Capacities) the Graph Represents a Small
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(Figure: Network Goods and Fixed Capacities) the Graph Represents a Small

Question 76

Question 76

True/False

(Figure: Network Goods and Fixed Capacities) The graph represents a small network with a fixed capacity. If capacity decreases from S1 to S0, D rotates downward, and price decreases.
(Figure: Network Goods and Fixed Capacities) The graph represents a small network with a fixed capacity. If capacity decreases from S<sub>1</sub> to S<sub>0</sub>, D rotates downward, and price decreases.

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