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A single Bluefin tuna has been sold in a Japanese fish market for a new record price.The sale came at the same time as warnings that tuna stocks (which are a finiteresource) are being overfished.
(a) Describe in what way the following factors would affect the price of a productlike tuna. Give a reason for each of your answers.
(i) A successful advertising campaign.
(ii) A rise in the price of a substitute good.
(b) Describe why demand usually falls as price rises.
(c) Using a demand and supply diagram, describe the impact that overfishing mighthave on the equilibrium price and quantity of Bluefin tuna in the future.
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