Question 55 (1 point) Listen Refer to the diagram below to answer the following questions. Price D 8 4 80 오 Quantity The diagram illustrates an initial equilibrium in the market for New Zealand wine at the intersection of Do and So. If the price of Californian wine, a substitute for New Zealand wine, decreases and the wages of wine workers increase, how will the equilibrium point change? a) The equilibrium will first move from A to B, then return to A. b) The equilibrium point will move from A to D. c) The equilibrium point will move from A to C. d) The equilibrium point will move from A to B. Question 56 (1 point) Listen Refer to the diagram below to answer the following questions. Price с D 50 8 B Quantity The graph in this figure illustrates an initial equilibrium in the market for New Zealand wine at the intersection of D0 and S1. If there is a decrease in the price of fertilizer used on wine grapes and there is a decrease in tastes for New Zealand wine, how will the equilibrium point change? a) The equilibrium point will move from A to D. b) The equilibrium point will move from C' to A. c) The equilibrium point will move from C to B. d) There will be no change in the equilibrium point.
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