Consider the market for cars shown in the figure. How would a decrease in wages affect the quantity and price of equilibrium in the car industry? Note: The car industry also saw a decrease in wages. OA. There will be an increase in price and in quantity. OB. There will be an increase in price and a decrease in quantity. OC. There will be a decrease in price and in quantity. OD. There is a decrease in quantity and an uncertain effect on price. OE. There will be a decrease in price and an uncertain effect on quantity.

Consider the market for cars shown in the figure. How would a decrease in wages affect the quantity and price of equilibrium in the car industry? Note: The car industry also saw a decrease in wages. OA. There will be an increase in price and in quantity. OB. There will be an increase in price and a decrease in quantity. OC. There will be a decrease in price and in quantity. OD. There is a decrease in quantity and an uncertain effect on price. OE. There will be a decrease in price and an uncertain effect on quantity.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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