Suppose at the current price, the demand for copper is estimated at -3.14. What happens to...

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Suppose at the current price, the demand for copper is estimated at -3.14. What happens to sales revenue if the government im

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Answer 1

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sales revenue falls
As the price ie effective price ceiling as it is below the equilibrium price so the quantity supplied at the new price decreases which is the equilibrium price for it and that decreases revenue

total revenue =P*Q
and
after the price ceiling both price and quantity decrease so the total revenue decreases.

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Answer 2

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