A-LevelEconomicsThe price system and the microeconomy9708/12 · Feb/Mar 2022 · Q61 Mark
The diagram shows the demand and supply curves for cars in India. The initial equilibrium is at X. What will be the new equilibrium if there is a subsidy given to Indian car manufacturers and there is also an increase in the price of train and bus journeys in India? [Figure 6]
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✓ Correct answer
B: B
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