Suppose that initially, demand is given by the equation Qd = 48 ? 4P. If, as a result of an increase in income, the quantity demanded increases by 12 at every price, the new demand equation would be:
A. Qd = 48 ? 16P.
B. Qd = 48 ? 8P.
C. Qd = 60 ? 4P.
D. Qd = 36 ? 4P.
Answer: C
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