Use the following to answer question:
-(Figure: Four Markets for Online Movie Rentals) Use Figure: Four Markets for Online Movie Rentals.Which of the graphs illustrates what may happen in the market for online movie rentals if D1 or S1 is the original curve and D2 or S2 is the new curve and if the cost to the firm of producing online movie rentals falls?
A) A
B) B
C) C
D) D
Correct Answer:
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