20.Refer to Figure 18-2. The graph above illustrates the market for bakers who make homemade breads and breakfast pastries. If the price of breakfast pastries falls, what happens in the market for bakers? a. Demand increases from D1 to D2. b. Demand decreases from D2 to D1. c. Supply increases from $1 to $2. d. Supply decreases from S2 to S1.

20.Refer to Figure 18-2. The graph above illustrates the market for bakers who make homemade breads and breakfast pastries. If the price of breakfast pastries falls, what happens in the market for bakers? a. Demand increases from D1 to D2. b. Demand decreases from D2 to D1. c. Supply increases from $1 to $2. d. Supply decreases from S2 to S1.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

20.Refer to Figure 18-2. The graph above illustrates the market for bakers who make homemade breads and breakfast pastries.
If the price of breakfast pastries falls, what happens in the market for bakers?
a. Demand increases from D1 to D2.
b. Demand decreases from D2 to D1.
c. Supply increases from $1 to $2.
d. Supply decreases from S2 to S1.

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