1:57ull 4G O4.) What has happened to the supply of Indian sugar this year?5.) What has happened to the supply of Brazilian sugar as a result of the growingdemand for ethanol to fuel cars?6.) What does the representative of Archer Consulting predict will happen to the supplyof ethanol as a result of the Indian demand for sugar:Add a caption. 12:52Assessment- Sugar-rush-for-hy...Sugar rush for hyperactive BricsBy Robert Plummer, Business reporter, BBC News, 2/9/09The price of raw sugar is hitting highs not seen for nearly three decades - and the surgeis having a sweet-and-sour effect on two of the burgeoning Bric economies.Sugar futures reached more than 24 cents a pound this week, the dearest they have beensince February 1981.That makes it a valuable earner for the Centre-South region of Brazil, the largest sugar-canegrowing area in the world.At the same time, Brazil's position is strengthened by a collapse in production in India, theworld's number two sugar producer.The weakest monsoon rains in the Asian subcontinent for many years have led towidespread drought, hitting crops hard.However, India remains the top consumer of sugar and is relying on Brazilian imports tomake up the shortfall.Up to one million tonnes of Brazilian sugar have been bought by India in recent weeks,according to traders' estimates - and producers are betting that prices may climb as high as30 cents a pound before the current run peaks."There's still room for a further increase in prices if Indian demand remains strong." saysPlinio Mario Nastari of Brazil's Datagro consultancy.Food or fuel?All splendid news for Brazilian sugar plantation owners, you might think. But whereas Indiahas had a shortage of rainfall, Brazil's cane crops have been waterlogged by heavier-than-expected downpours.Sugar-cane needs dry weather to ripen in order to maximise its sucrose content, but northernSao Paulo state, one of the key areas of cultivation, has had its heaviest August rainfall in 60years.That means more customers chasing less of the sweet stuff - and those customers includenot only people with a sweet tooth, but also the majority of Brazil's motorists.In recent years, more and more Brazilian sucrose has been turned into ethanol rather thansugar, as the country's roads have seen a huge increase in the number of "flex-fuel" vehiclesthat run on a mixture of petrol and alcohol.Rise, fall and rise of Brazil's biofuelMore than 90% of new cars in Brazil are adapted to accept ethanol as fuel, thanks to a state-run biofuel programme that began during the country's years of military rule as a way ofreducing its dependence on oil imports.So far, the cost of alcohol at the filling station has not reflected the 80% rise in raw sugarprices since the start of this year.However, pump prices have started to creep up in recent weeks, and analysts expect them torocket after the end of the sugar-cane harvest, which lasts from April to November."India is demanding sugar, which is priced 40% above cost, while alcohol is being soldbelow cost," says Amaldo Luiz Correa of Archer Consulting in Sao Paulo.For that reason, he says, factories will switch production from ethanol to sugar, pushing upfuel costs.Production boostIf world sugar prices remain high, farmers are bound to plant more canes in future, in thehope of cashing in on the boom.Price ot raw sugar 2009(cents per pound)26242220181614MonthsSOURCE: ICEThere is already pressure on owners of prime Brazilian farmland to divert their resourcesfrom other crops, such as oranges, in favour of sugar.Brazil is the world's biggest producer of orange juice, shipping both frozen and chilledproduce around the world in specially-refrigerated vessels.But orange groves have to be cultivated for several years before they bear useful fruit - andthey need much more attention than sugar canes.In India, the trend appears to be going the other way.Many farmers moved away from sugar-cane in 2008 because they could get better,government-guaranteed priees for other crons such as whont and rice10 Aug19 AugAug

The demand (dd) for a product shows the quantity that a consumer desire to purchase at the given…

4.) What has happened to the supply of Indian sugar this year? 5.) What has happened to the supply of Brazilian sugar as a result of the growing demand for ethanol to fuel cars?" 6.) What does the representative of Archer Consulting predict will happen to the supp of ethanol as a result of the Indian demand for sugar:

4.) What has happened to the supply of Indian sugar this year? 5.) What has happened to the supply of Brazilian sugar as a result of the growing demand for ethanol to fuel cars?" 6.) What does the representative of Archer Consulting predict will happen to the supp of ethanol as a result of the Indian demand for sugar:

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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11) There are two closely related crops, X and Y, with the following demand functions QX = 180 - 2PX + PY and QY = 150 + PX - PY where QX is the quantity of X, PX is the price of X, QY is the quantity of Y, and PY is the price of Y. These two crops are grown in two widely separated countries so there is no interrelationship between the supply curves. The short-run perfectly inelastic supply for X is 150 while the short-run perfectly inelastic supply for Y is 100. In equilibrium, the prices are A) PX = 80, PY = 130 B) PX = 40, PY = 65 C) PX = 60, PY = 120 D) PX = 30, PY = 80 12) There are two closely related crops, X and Y, with the following demand functions QX = 180 - 2PX + PY and QY = 150 + PX - PY where QX is the quantity of X, PX is the price of X, QY is the quantity of Y, and PY is the price of Y. These two crops are grown in two widely separated countries so there is no interrelationship between the supply curves. The short-run perfectly inelastic supply for X is…
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4) Suppose a market starts in equilibrium; then we observe a decrease in supply and a decrease in demand simultaneously. What can we say about the new equilibrium? Illustrate.
Answer the question on the basis of the given supply and demand data for wheat.
2. P Price ($) $ 120 $100 $80 $60 Let (inverse) demand be Pb = 108 - 7 Qb and (inverse) supply be Pv = 18 + 3 Qv. What quantity will be exchanged in the market if it is competitive? Answer: your answer Submit $40 $20 0 $0 0 5 2 4 Demand 10 6 Quantity Supply 15 8 Quantity 10 Eqm 20 12 14 25 16
14. Given that the U.S. government mandates the use of ethanol as a partial substitute for gasoline (10% by volume), and that ethanol manufactured in the U.S. is made from corn; how will the supply of ethanol, the demand for ethanol, as well as its equilibrium price and quantity, be affected by the following event: Development of new genetically engineered bacteria that can efficiently convert high cellulose biomass (grasses, wood chips, etc.) into ethanol. There will be multiple answers h) Equilibrium Price will increase. e) Supply will decrease. j) Equilibrium Price and Quantity will remain unchanged. d) Supply will increase. c) Demand will decrease. g) Equilibrium Quantity will decrease. f) Equilibrium Quantity will increase. a) To the extent the amount of ethanol additive in gasoline is determined by government fiat, neither demand for not supply of ethanol will be affected unless the government changes…
1. Let (inverse) demand be Pb = 110-7 Qb and (inverse) supply be Pv = 32 + 3 Qv. Consider the shift in demand illustrated (the intercept of Pb moves by 10), what is the ORIGINAL quantity traded ? Answer: your answer Price ($) $ 120 $100 $80 $ 60 $40 $ 20 $0 $-20 0 2 Demand 4 S Submit Supply 6 8 Quantity Eqm 10 D + shift 12 14 16