The cost of crude oil inceases by 25 percent. Crude oil is the basic raw material used to produce plastic. What will happen to the supply the supply curve for platic toys?
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Expert's answer
2012-03-16T10:48:16-0400
Crude oil is basic raw material for plastic toys. Increase of crude oil price is non-price determinant of plastic toys supply. Increase of price for crude oil will shift the supply curve of plastic toys up.
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