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Think of an event and then implement the three steps that are necessary for analyzing changes...

Think of an event and then implement the three steps that are necessary for analyzing changes in equilibrium as follows: 1. Decide whether the event shifts the supply or demand curve (or perhaps both). 2. Determine the direction in which the curve shifts. 3. Use the supply-and-demand diagram to see how the shift changes the equilibrium price and quantity.

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