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The graph below shows how the price of video games varies with the demand quantity
Increase in Demand
Supply
$160
New
Demand
$120
Demand
200 300 Quantity
Suppose that consumers' incomes increased, such that more video games were demanded at each price level. After the
increase in demand, the new equilibrium price is where both supply and demand equal
$120.200 video games
$160,300 video games
$120, 300 video games
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The graph below shows how the price of video games varies with the demand quantity
Increase in Dema...
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