Economics 9708 · AS & A Level · Maximum and minimum prices

Maximum and minimum prices — practice question

A government aims to increase the number of houses supplied. It offers a subsidy to brick manufacturers so that the supply of bricks rises to S2. The diagram illustrates the supply of and demand for bricks. Which per-unit subsidy is needed to raise supply to S2?

  • AOP3
  • BP1P2
  • CP1P3
  • DP2P3

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