Smoke detectors have been shown to effectively reduce the


Smoke detectors have been shown to effectively reduce the death rate due to fires. In order to ensure that as many individuals as possible install a smoke detector, the government recently decided to subsidize the production of smoke detectors. Which of the following will be the consequences of this subsidy? Select all that apply.

A. The demand for smoke detectors will increase.

B. The demand curve shifts to the left

C. The supply curve shifts to the left

D. The supply curve shifts to the right

E. The demand curve is unaffected

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Business Economics: Smoke detectors have been shown to effectively reduce the
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