Consider the market for wine in the diagram below: 70 Price ($) 60 50 40 30 20 10 S x D 100 200 300 400 500 600 700 800 Wine (millions of bottles) Suppose supply shifts to the right by 100 million bottles of wine. What would be the new equilibrium price and quantity of wine as a result of this increase in supply? $45 and 550 million bottles of wine $45 and 500 million bottles of wine $50 and 600 million bottles of wine $50 and 500 million bottles of wine

Consider the market for wine in the diagram below: 70 Price ($) 60 50 40 30 20 10 S x D 100 200 300 400 500 600 700 800 Wine (millions of bottles) Suppose supply shifts to the right by 100 million bottles of wine. What would be the new equilibrium price and quantity of wine as a result of this increase in supply? $45 and 550 million bottles of wine $45 and 500 million bottles of wine $50 and 600 million bottles of wine $50 and 500 million bottles of wine

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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