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Economics

In a given market at a given time, labor productivity improves. Simultaneously, the incomes of buyers in this market increase.

a) What will happen to supply (S) in this market?

b) What impact will there be on demand (D), if any, assuming the the product being traded is a normal good?

c) Fully assess the assertion that these simultaneous changes will unambiguously result in an increase in the price of this product.

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Microeconomics, Economics

Category:- Microeconomics
Reference No.:- M91226729

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