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cientists have developed a bacteria that they believe will lower the freezing point of agricultural products. This innovation could save farmers $1 billion a year in crops now lost to frost damage. If
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cientists have developed a bacteria that they believe will lower the freezing point of agricultural products. This innovation could save farmers $1 billion a year in crops now lost to frost damage. If this technology becomes widely used, what will happen to the equilibrium price and quantity in, for example, the potato market?

User Chesley
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Answer:

equilibrium price would fall and equilibrium quantity would increase

Step-by-step explanation:

The discovery would reduce the amount of crops now lost to frost damage and increase the supply of crops e.g. potato.

As a result of the increase in supply, there would be an excess of supply over demand equilibrium price would fall and quantity would increase

Please check the attached image for a graph showing increase in supply

cientists have developed a bacteria that they believe will lower the freezing point-example-1
User Daniel Miller
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