Use the following demand and supply functions: Demand: Supply: Let supply remain constant; an increase in income causes consumers to be willing and able to buy 220 more units at each price than they were previously.The new equilibrium price and quantity are
A) P = $10 and Q = 520.
B) P = $12 and Q = 400.
C) P = $10 and Q = 80.
D) P = $15 and Q = 600.
Correct Answer:
Verified
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