6. Suppose that the supply schedule of Maine lobsters is asfollows:Quantity of lobstersupplied (pounds)Price of lobster(per pound)$25800207001560010500400Suppose that Maine lobsters can be sold only in theUnited States. The U.S. demand schedule for Mainelobsters is as follows:Quantity of Ilobsterdemanded (pounds)Price of lobster(per pound)$252002040015600108001,000a. Draw the demand curve and the supply curve forMaine lobsters. What are the equilibrium price andquantity of lobsters? Now suppose that Maine lobsters can be sold in France.The French demand schedule for Maine lobsters is asfollows:Price of lobsterQuantity of lobstersupplied (pounds)(per pound)$25100203001550010700900b. What is the demand schedule for Maine lobstersnow that French consumers can also buy them?Draw a supply and demand diagram that illus-trates the new equilibrium price and quantityof lobsters. What will happen to the price atwhich fishermen can sell lobster? What willhappen to the price paid by U.S. consumers?What will happen to the quantity consumed byU.S. consumers?

Plot the combinations of price and quantity supplied from the supply schedule given, to graph supply…

Answered: 6. Suppose that the supply schedule of…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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The market for wool in the economy of Odessa is shown in the table below (note that quantities are given in tonnes per year). Price ($) 100 200 300 400 500 600 700 Quantity demanded 160 140 120 100 80 60 40 Quantity demanded 2 Quantity supplied 10 20 30 40 50 60 70 Quantity supplied 2 find quantity demanded 2 and quantity supplied 2 from the above table
15. Another supply and demand purzle Suppose the market price of calzones in a university town recently decreased. Economics students studying at the university are discussing potential causes of the price decrease. One group of students theorize that the price decreased because the price of dough, an important ingredient for making calzones, has decreased. Others caim the decrease in the price of calzones is because of a recent increase in the price of beer, Everyone agrees that the increase in the price of beer was caused by a recent increase in the price of hops, which are not generally used in making calzones. The first group of students claim the decrease in the price of calzones can be attributed to the fact that the price of dough, an important ingredient for making calzones, has decreased. On the following graph, adjust the supply and demand curves to iustrate the first group's explanatian for the decrease in the price of catrones. Note: Select and drag one or both of the…
8. Another supply and demand puzzle The market price of calzones in a college town decreased recently, and the students in an economics class are debating the cause of the price decrease. Some students suggest that the price decreased because a new type of pizza oven allows pizza shops to make a calzone in half the time. Other students attribute the decrease in the price of calzones to a recent decrease in college student enrollment. The first group of students think the decrease in the price of calzones is due to the fact that a new type of pizza oven allows pizza shops to make a calzone in half the time. On the following graph, adjust the supply and demand curves to illustrate the first group's explanation for the decrease in the price of calzones. PRICE (Dollars per calzone) QUANTITY (Calzones) Supply Demand Demand 宁夏中磨 -0- Supply The second group of students attribute the decrease in the price of calzones to the decrease in college student enrollment. On the following graph, adjust…
USE TABLE #1: The supply curve intersects with the price axis at $_____. (Remember to use a comma, if a comma is needed and to include the decimal point and two numbers to the right of the decimal point).
Suppose a decrease in the world demand for desktop computers causes the price of desktop computers to fall from $600 to $500. Before the fall in demand, Juna, a local computer dealer in Japan, used to produce 9,000 desktop computers and exported 50 percent of it to other countries every week. However, after the fall in demand, Juna reduced its production to 8,000 units and exports only 40 percent of its total output.a. What are the changes in the quantity sold to domestic consumersb. What are the changes in the consumer surplus?c. Sketch a diagram to illustrate the changes for Juna.
4. Demand shifters The following graph shows the market demand for kumquats. Suppose that government reports link an outbreak of salmonella poisoning to a recent kumquat crop. Show the impact of the government report by shifting the demand curve on the following graph. Note: Select and drag the curve to the desired position. The curve will snap into position, so if you try to move a curve and it snaps back to its original position, just drag it a little farther. PRICE (Dollars per crate) Demand QUANTITY (Crates of kumquats) Demand The following graph shows the market demand for televisions, which are normal goods. Suppose that a deep economic recession causes consumer income to decline.
13. Suppose over the next several years the level of income and wealth rises in the state of Florida. For the housing market this would mean: An increase in the quantity of houses demanded, rising prices and an increase in supply. An increase in the demand for houses, rising prices and an increase in quantity supplied. An increase in the quantity of houses demanded shortages and higher prices. A decrease in the quantity of houses supplied as demand increases. Price gouging in this market would be rampant.
Quantity supplied will….
6. Market equilibrium The following table shows the monthly demand and supply in the market for orange juice in Chicago. Price Quantity Demanded Quantity Supplied (Dollars per gallon of orange juice) (Gallons of orange juice) (Gallons of orange juice) 2 500 50 4 400 150 6 300 8 200 10 100 200 300 450 On the following graph, plot the demand for orange juice using the blue point (circle symbol). Next, plot the supply of orange juice using the orange point (square symbol). Finally, use the black point (plus symbol) to indicate the equilibrium price and quantity in the market for orange juice. Note: Plot your points in the order in which you would like them connected. Line segments will connect the points automatically.
TABLE 3-1 Price of DVDS Maya Seema Rest of the Market Market $24 $20 6. $16 11 11 $12 14 11 14 $8 17 14 20 Refer to Table 3-1. It illustrates the demand schedules for DVDS of two individuals and the rest of the market. At a price of $16, what quantity of DVDS would be demanded in the market? 12 O 22 31 39 9. 8.
2. Suppose that annual demand in the U.S. market for ice cream cones can be expressed as QD = 800 + .2I - 100P, where QD is the number of cones demanded in millions of cones, I equals average monthly income in dollars, and P is price in dollars per cone. Supply can be expressed as QS = 200 + 150P (with the same units for quantity and price). A. Graph the demand and supply curves for ice cream cones, assuming that average monthly income is $2,000, and solve for the equilibrium price and quantity. B. Now assume that the average monthly income drops to $750 and supply is unchanged. Draw the new demand curve on the same graph as used in (a) above and solve for the new equilibrium price and quantity. How would you describe the shift in demand intuitively?

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