In the following figure, the first panel shows a market situation prior to regulation and the second panel shows the effects of regulation.Figure 14.2
In the figure,
D: Demand curve for automobiles
S 1 : Supply curve of automobiles prior to regulation
S 2 : Supply curve of automobiles after regulation
FG: Clean up cost per unit
-If a market is narrowly defined, the market share of each firm declines than if it is broadly defined.

Question

In the following figure, the first panel shows a market situation prior to regulation and the second panel shows the effects of regulation.Figure 14.2
  In the figure,
D: Demand curve for automobiles
S 1 : Supply curve of automobiles prior to regulation
S 2 : Supply curve of automobiles after regulation
FG: Clean up cost per unit
-If a market is narrowly defined, the market share of each firm declines than if it is broadly defined.

Quizplus · Accepted Answer

The statement provided is not related to the information presented in the figure. Therefore, it is not possible to determine whether it is true or false based on the given information.

In the Following Figure, the First Panel Shows a Market