A. Assume a market of a specific good. The demand and supply equation is as shown below: Po = 70 - 30, P, = 5+ 20, Assume that there is an advancement in technology that causes the input cost of the good to decrease. Thi cause the supply curve to shift rightwards by 2 units. 1. Find the new demand price elasticities at the equilibrium 2. Find the new supply price elasticities at the equilibrium 3. Find the new Consumer Surplus 4. Find the new Producer Surplus

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