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Refer to the Graph Shown

question 37

Multiple Choice

Refer to the graph shown. Refer to the graph shown.   If product demand increases from D<sub>1</sub> to D<sub>2</sub>, the equilibrium price of the product will: A) increase from P<sub>1</sub> to P<sub>2</sub> and equilibrium quantity will increase from Q<sub>1</sub> to Q<sub>2</sub>. B) increase from P<sub>1</sub> to P<sub>2</sub> and equilibrium quantity will decrease from Q<sub>2</sub> to Q<sub>1</sub>. C) decrease from P<sub>2</sub> to P<sub>1</sub> and equilibrium quantity will increase from Q<sub>1</sub> to Q<sub>2</sub>. D) decrease from P<sub>2</sub> to P<sub>1</sub> and equilibrium quantity will decrease from Q<sub>2</sub> to Q<sub>1</sub>. If product demand increases from D1 to D2, the equilibrium price of the product will:

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Definitions:

Financial Institutions

Organizations that provide financial services to its clients or members, including banks, credit unions, insurance companies, pension funds, and investment companies.

Investment Banker

Underwrites new issues of securities for corporations, states, and municipalities.

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