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One reads in the newspaper: "Today the president and Congress enacted a law which adds new ...

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One reads in the newspaper: "Today the president and Congress enacted a law which adds new ...

One reads in the newspaper: "Today the president and Congress enacted a law which adds new requirements that child care providers must meet before they can offer their services for sale." As a result, an economist would predict that

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the supply of child care services will increase, thus lowering the price of child care services.

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the supply of child care services will be unaffected by the stiffer requirements and therefore the price of child care services will not change.

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the demand for child care services will fall because people who buy child care services do not want stiffer requirements placed on child care providers.

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the supply of child care services will decrease, thus raising the price of child care services.

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none of the above

Textbook

Economics

Edition: 12^th

Author: Arnold

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Thanks for your help!!

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