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Vesnalui [34]
3 years ago
15

cientists have developed a bacteria that they believe will lower the freezing point of agricultural products. This innovation co

uld save farmers $1 billion a year in crops now lost to frost damage. If this technology becomes widely used, what will happen to the equilibrium price and quantity in, for example, the potato market?

Business
1 answer:
alex41 [277]3 years ago
5 0

Answer:

equilibrium price would fall and equilibrium quantity would increase

Explanation:

The discovery would reduce the amount of crops now lost to frost damage and increase the supply of crops e.g. potato.

As a result of the increase in supply, there would be an excess of supply over demand equilibrium price would fall and quantity would increase

Please check the attached image for a graph showing increase in supply

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Equity securities acquired by a corporation which are accounted for by recognizing unrealized holding gains or losses are Group
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Associate: where a company has holdings of between 20% and 50%.

Minority Interest: where a company has holdings of less than 20%

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