Assume the market for extra-long twin mattresses is in equilibrium. There is a sudden decrease in income throughout the economy. If all else is held constant, we would expect that if extra-long twin mattresses are a(n) good, then the demand curve will shift to the , causing the equilibrium price and quantity to inferior; left; fall O normal; right; rise O inferior; right; fall O normal; left; fall O normal; left; rise

Assume the market for extra-long twin mattresses is in equilibrium. There is a sudden decrease in income throughout the economy. If all else is held constant, we would expect that if extra-long twin mattresses are a(n) good, then the demand curve will shift to the , causing the equilibrium price and quantity to inferior; left; fall O normal; right; rise O inferior; right; fall O normal; left; fall O normal; left; rise

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

Consider the market for arugula, a normal good. Which of the following changes would result in an increase in both the equilibrium price and the equilibrium quantity of arugula? * O A decrease in consumer income O An increase in the price of salad dressing, a complement O A decrease in the price of radicchio, a substitute An increase in the price of water irrigation for arugula farms An increase in population In which of the following cases would government intervention in a market result in an increase in the quantity sold? * Setting a price ceiling above the equilibrium price Setting a price ceiling below the equilibrium price Setting a price floor above the equilibrium price Levying a per-unit tax on producers Providing producers of a product with a per unit subsidy
Consider each of the scenarios before, and explain what the effect of the given changes would be on the market for the good in bold that was originally in equilibrium. State which curve(s) shift (supply, demand, both, neither), and whether price and quantity are higher or lower after the change, or if this is not possible to determine. (a) An increase in the cost of dorm rooms on the market for apartments in the U-district? (b) The government increases the consumption tax rate for consumersp by 5% on the market for Rolex watches? (c) The increase in price of milk on cakes? Note: The solution should not be hand written.
Consider the demand for soap shown in Figure 1 above. How much soap will consumers purchase if the price of a pound of soap is $8? A) 210 pounds B) 248 pounds C) 286 pounds D) 305 pounds
The market for cellular phones has seen a combination of improving telecommunication technology and rising consumer incomes. Suppose you are told that the price of cellular phones decreased over the past five years. The decreasing prices of cellular phones, a normal good, implies that the magnitude of: A. he rightward shift of the demand curve is greater than that of the rightward shift of the supply curve B. The leftward shift of the demand curve is greater than that of the rightward shift of the supply curve C. The rightward shift of the demand curve is less than that of the rightward shift of the supply curve D. The rightward shift of the demand curve is less than that of the leftward shift of the supply curve
Only typed answer
A man invest P 50,000 now for the college education of his 2 year old son. Money is 14% effective. How much will the son get each year starting from his 18th to 22nd birthday?
4. Unless the price of a 350GB portable hard drive is more than Php2,000, none is available in the market. However, when the price is Php3,500, four hundred units are available to buyers. Find the supply equation assuming it is linear.
If the demand curve moves to the right as the supply curve also moves to the right( at the same time), then a) Equilibrium price must increase, but equilibrium quantity may either rise, fall or remain unchanged. b)Equilibrium price and quanity must both go down c) The Equilibrium price may either rise, fall or remain unchanged, but the equilibrium quanity must increase. d) Equailibrium price and quanity must both go up. e) none of the above
What are some general factors that can impact the demand for a product and the supply of a product? Identify at least two factors for each and explain the different ways these determinants can shift supply and demand either left or right.
Please answer on d and e Thank you
1. What is the equilibrium price? What is the equilibrium quantity? Suppose P_c goes up to 14. New equilibrium price? New equilibrium quantity?
How do i figure this one out?