An increase in the price of rubber coincides with an advance in the technology of tire production.As a result of these two events,

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Quizplus · Accepted Answer

The increase in the price of rubber and advance in technology of tire production can have varied effects on the demand and supply of tires. It is possible that the increase in tire production technology leads to an increase in the supply of tires, which could offset the increase in price of rubber and keep the demand and supply in equilibrium. It is also possible that the increase in price of rubber leads to a decrease in demand for tires, which could lead to a decrease in supply of tires. Therefore, none of the options presented in the question is necessarily correct.

An Increase in the Price of Rubber Coincides with an Advance