Quantity demand declines back and up in auto market

Suppose that the auto market started at the intersection of S₀ and D₀, and subsequently higher labor costs drove up prices for latest cars. How will it influence the market for automobiles?: (w) Higher wages for auto workers drive up the total market demand. (x) Demand shifts to D₂. (y) Demand shifts to D₁. (z) The quantity demanded declines back and declines up along D₀.

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