Suppose the government subsidizes any business that uses, Business Economics

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Suppose the government subsidizes any business that uses

Consider the market for cars.

a. Suppose the government subsidizes any business that uses steel in the production process. Also, suppose that a new study proves car exhaust is a major carcinogen. Graph the shift in supply and/or demand. Be sure to label the new equilibrium price and quantity. Additionally, state whether the new price and quantity are less than or greater than their original amounts.

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Business Economics: Suppose the government subsidizes any business that uses

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Business Economics: Suppose the government subsidizes any business that uses

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