answers to the questions above. 1.) Using the line drawing tool, graph the effect of a tax on carbonated sodas in the market for orange juice by drawing a new demand curve. Label your line 'D₂. 2.) Using the line drawing tool, graph the effect of a cure for citrus greening in the market for orange juice by drawing a new supply curve. Label your line 'S₂. 3.) Using the point drawing tool, indicate the new market equilibrium. Label your point 'e₂. Carefully follow the instructions above and only draw the required objects. The equilibrium quantity of orange juice of orange juice and the equilibrium price

answers to the questions above. 1.) Using the line drawing tool, graph the effect of a tax on carbonated sodas in the market for orange juice by drawing a new demand curve. Label your line 'D₂. 2.) Using the line drawing tool, graph the effect of a cure for citrus greening in the market for orange juice by drawing a new supply curve. Label your line 'S₂. 3.) Using the point drawing tool, indicate the new market equilibrium. Label your point 'e₂. Carefully follow the instructions above and only draw the required objects. The equilibrium quantity of orange juice of orange juice and the equilibrium price

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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When an economist states the supply of a product has decreased, he or she has concluded that a) A smaller quantity will be produced at every price b) The price is too high for equilibrium c)a greater quanity will produced at every price d) the price is too low equilibrium. e) demand was too high for producers to make a profit.
Consider two markets: the market for coffee and the market for hot cocoa. The initial equilibrium for both markets is the same, the equilibrium price is $5.50, and the equilibrium quantity is 37.0. When the price is $8.75, the quantity supplied of coffee is 69.0 and the quantity supplied of hot cocoa is 101.0101.0. For simplicity of analysis, the demand for both goods is the same. Using the midpoint formula, calculate the elasticity of supply for hot cocoa. Please round to two decimal places.
Demand, Supply, and Market Equilibrium - Think of a product that you have purchased recently (e.g. soda, diapers, takeout meals, milk, shoes, manicure/pedicure, video game, etc...). Explain how the law of demand affected your purchase. Give specific examples of how the determinants of demand and supply affect this product (T-I-P-E-N and P-R-E-S-T). What happens to the demand curve and the supply curve when any of these determinants change? What would cause a change in demand versus a movement along the same demand curve for this product? How would you determine the new equilibrium price and quantity that result from these changes? Can you demonstrate some of these changes graphically? Price Elasticity of Demand - Consider a product that you have purchased recently. If the price of this item increases, how would you adjust your purchases? Is the Demand for this product Price Elastic or Price Inelastic? Justify your classification by applying the determinants of elasticity to…
Suppose that demand for a good increases and, at the same time, supply of the good decreases. What would happen in the market for the good? Answer A)Equilibrium price would decrease, but the impact on equilibrium quantity would be ambiguous. B)Equilibrium price would increase, but the impact on equilibrium quantity would be ambiguous. C)Equilibrium quantity would decrease, but the impact on equilibrium price would be ambiguous. D)Equilibrium quantity would increase, but the impact on equilibrium price would be ambiguous.
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Consider two markets: the market for cat food and the market for dog food. The initial equilibrium for both markets is the same, the equilibrium price is $⁢3.50, and the equilibrium quantity is 31.0. When the price is $10.75, the quantity supplied of cat food is 75.0 and the quantity supplied of dog food is 103.0. For simplicity of analysis, the demand for both goods is the same. Using the midpoint formula, calculate the elasticity of supply for dog food. Please round to two decimal places.
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