The weekly demand and supply schedules for red dresses (in millions) in a free market are as follows Price () 8 7 6 5 4 3 2 1 Quantity demanded 6 8 10 12 14 16 18 20 Quantity supplied 18 16 14 12 10 8 6 4 (a) What is the equilibrium price and quantity (b) If there is a change in fashion that causes...

a Equilibrium is where quantity demanded equals qua ...

The weekly demand and supply schedules for red dresses (in millions) in a free market are as

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The weekly demand and supply schedules for red dresses (in millions) in a free market are as follows:

Price (£)	8	7	6	5	4	3	2	1
Quantity demanded	6	8	10	12	14	16	18	20
Quantity supplied	18	16	14	12	10	8	6	4

(a) What is the equilibrium price and quantity?

(b) If there is a change in fashion that causes demand for red dresses to rise by 4 million at each price, what will be the new equilibrium? Has the equilibrium quantity risen by as much as the increase in demand? Explain why or why not.

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Question Posted: Mar 22, 2024 01:33 PM

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The weekly demand and supply schedules for red dresses (in millions) in a free market are as

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