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12 votes
12 votes
- What will happen to the equilibrium price of
motorcycles?

User Alexander Todorov
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1 Answer

22 votes
22 votes
A decrease in demand and an increase in supply will cause a fall in equilibrium price, but the effect on equilibrium quantity cannot be determined. ... For any quantity, consumers now place a higher value on the good,and producers must have a higher price in order to supply the good; therefore, price will increase.
User Lucelia
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