Suppose that an increase in production costs decreases the supply of wheat, such that wheat is supplied at each price level. The new equilibrium quantity (after the decrease in supply) is

Question

Gillian Villa

Social Studies

14 March, 12:03

Suppose that an increase in production costs decreases the supply of wheat, such that wheat is supplied at each price level. The new equilibrium quantity (after the decrease in supply) is

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Answers (2)

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Talia Haas · Answer 1

Suppose that an increase in production costs decreases the supply of wheat, such that less wheat is supplied at each price level. The new equilibrium quantity (after the decrease in supply) is increased.

Micheal Yoder · Answer 2

Micheal Yoder 14 March, 12:30

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The answer is that it increases.