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Homework answers / question archive / A paper mill discovers that burning old tires is a far cheaper way to get power than using coal, and they quickly adopts the new technology

A paper mill discovers that burning old tires is a far cheaper way to get power than using coal, and they quickly adopts the new technology

Economics

A paper mill discovers that burning old tires is a far cheaper way to get power than using coal, and they quickly adopts the new technology. We can assume which of the following will happen in the market for paper?

A. The demand for paper will increase.

B. The supply of paper will increase.

C. The demand for paper will decrease.

D. The supply of paper will decrease.

Option 1

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