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Figure 3-8

question 96

Multiple Choice

Figure 3-8 Figure 3-8   -Refer to Figure 3-8. The graph in this figure illustrates an initial competitive equilibrium in the market for apples at the intersection of D<sub>1</sub> and S<sub>1</sub> (point A) . If the price of oranges, a substitute for apples, decreases and the wages of apple workers increase, how will the equilibrium point change? A)  The equilibrium point will move from A to E.  B)  The equilibrium point will move from A to B. C)  The equilibrium point will move from A to C.  D)  The equilibrium will first move from A to B, then return to A.
-Refer to Figure 3-8. The graph in this figure illustrates an initial competitive equilibrium in the market for apples at the intersection of D1 and S1 (point A) . If the price of oranges, a substitute for apples, decreases and the wages of apple workers increase, how will the equilibrium point change?


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