Given the market for illegal drugs, when the government is successful in reducing the flow of drugs into the United States,

Given the market for illegal drugs, when the government is successful in reducing the flow of drugs into the United States,



a. supply decreases, demand is unaffected, and price increases.
b. demand decreases, supply is unaffected, and price decreases.
c. demand and supply both decrease, leaving price essentially unchanged.
d. supply decreases, demand increases, and price increases substantially as a result.





Answer: A


Microeconomics

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