**Supply and Demand Problems****Start Assignment****Due**: Apr 13 by 11:59 PM **Points**: 10 **Submitting**: a text entry box, a media recording, or a file upload ---**Supply and Demand Problems**Follow the directions to create graphs and explanations.1. **Looking at the market for Sacramento Kings Coffee Mugs**: **Instructions**: Draw supply and demand curves that follow the laws of supply and demand. Label the curves S and D, and label the equilibrium E. Also label the equilibrium quantity and equilibrium price. Suppose the Kings win the NBA championship, which is a big surprise, show what would happen on your graph (& labels) and explain it in words. **Diagram Explanation**: - **Supply Curve (S)**: Upward sloping line indicating that as price increases, the quantity supplied increases. - **Demand Curve (D)**: Downward sloping line indicating that as price decreases, the quantity demanded increases. - **Equilibrium Point (E)**: The point where supply and demand curves intersect, representing the equilibrium price (P) and quantity (Q). - **E'**: New equilibrium point after the Kings win the championship. **Scenario Explanation**: - If the Kings win, demand for Sacramento Kings Coffee Mugs will increase. - This is shown by the rightward shift of the demand curve from D to D'. - The new equilibrium point E' shows an increased equilibrium price and quantity. **Note**: "demand will go up, supply will go up, if they win everybody will be buying their stuff"2. **Looking at the market for Wheaties cereal**: **Instructions**: Draw supply and demand curves that follow the laws of supply and demand. Label the curves S and D, and label the equilibrium E. Also label the equilibrium quantity and equilibrium price. Suppose the cost of wheat goes up (because of the Russian invasion of Ukraine perhaps), show how this will affect the graph (& labeling) and explain it in words. **Diagram Explanation**: - **Supply Curve (S)**: Upward sloping line indicating that as price increases, the quantity supplied increases. - **Demand Curve (D)**: Downward sloping line indicating that as price decreases, the quantity demanded increases. - **Equilibrium Point (E)**: The point

1. Looking at the market for Sacramento Kings Coffee Mugs: Draw supply and demand curves that follow the laws of supply and demand. Label the curves S and D, and label the equilibrium E. Also label the equilibrium quantity and equilibrium price. Suppose the SUPPLY 1 Kings win the NBA championship, which is a big surprise, show what would happen on your graph (& labels) and explain it in words. demand will go up supply will go uр if they win every but will be buying their srift. p₁ E 'D' Price p

1. Looking at the market for Sacramento Kings Coffee Mugs: Draw supply and demand curves that follow the laws of supply and demand. Label the curves S and D, and label the equilibrium E. Also label the equilibrium quantity and equilibrium price. Suppose the SUPPLY 1 Kings win the NBA championship, which is a big surprise, show what would happen on your graph (& labels) and explain it in words. demand will go up supply will go uр if they win every but will be buying their srift. p₁ E 'D' Price p

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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