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Good R and Good S Are Substitutes in Production

Question 58

Multiple Choice

Good R and good S are substitutes in production. If the price of good S increases, then the:


A) supply of good R decreases, and the quantity supplied of good S increases.
B) supply of good R increases, and the supply of good S decreases.
C) quantity supplied of good R increases, and the supply of good S decreases.
D) quantity supplied of both goods decreases.

Correct Answer:

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