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What would be the effect on the supply curve

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Reference no: EM132228585

Assume there is an increase in the demand of investors purchasing gold to hedge a decrease in the value of the American dollar.

(a) How will an increase in the demand for gold affect the market price of gold?

(b) What would be the effect on the supply curve for gold jewelry? Explain using diagrams of supply and demand on both cases.

Reference no: EM132228585

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