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Answer to Question #151264 in Microeconomics for Amber
Question #151264
Due to increase in GST the supply of Air conditioner decease from 20 units to 10 units at same price this situation leads to
Expert's answer
This situation leads to contractions in supply for suppliers tend to minimise expenses from taxes . Suppliers tend to maintain prices to maintain their customers irrespective of increased value added taxes or GST .
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