If the price of leather (an input for leather shoes)increases,the equilibrium price of leather shoes will increase and the equilibrium quantity of leather shoes will decrease.

Question

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An increase in the price of an input (leather) will increase the cost of production for leather shoes, resulting in a decrease in the supply of leather shoes. As a result, the equilibrium price of leather shoes will increase and the equilibrium quantity will decrease.

If the Price of Leather (An Input for Leather Shoes)increases,the