Consider the following Supply and Demand curves for tangerines: Supply: Q = 2p Demand: Q = 240 - 4p 10. Draw both the Supply and Demand functions with Q on the x-axis and p on the y-axis. Label any x-intercepts and y-intercepts. [2 points] 11. What is the free-market equilibrium Quantity (Q*) and price (p*)? [1 point] 12. Is the Demand function elastic or inelastic? Is the Supply function elastic or inelastic? How do you know? [2 points]

Consider the market for the normal good Corn Flakes.  Assume the supply and demand curves have normal (i.e. consistent with the laws of supply and demand) slopes.  The market is currently in equilibrium.  In each of the following situations indicate what will happen to the price of Corn Flakes and the quantity sold in the market.  Each situation described below is a separate situation and should be treated independently. (I.e., Will the price of Corn Flakes increase, decrease, or not change?  Will the quantity of Corn Flakes sold in the market increase, decrease, or not change? Diagrams are not necessary in your answer. I am only asking for the final results. That is what happens to price and quantity sold after each of the following events as described occurs.) a. The price of Rice Krispies and Fruit Loops both decrease.    Corn Flakes price will ________  and quantity sold will          _____________   b. Consumer disposable income increases significantly as a result of an income tax…

1. Consider a demand of the form QD = 2P + 16 and a supply curve of the form Qs = P 5. Plot these curves and be sure to P on the vertical and Q on the horizontal axis. Find the equilibrium price and quantity.  2.Consider the function Y = pXZ where X > 0 and Z > 0. Draw the contour lines (in the positive quadrant) for this function for Y = 4, Y = 5, and Y = 10. What do we call the shape of these contour lines? Where does the line 20X + 10Z = 200 intersect with the contour lineY = 50?

Question 1 Consider a rice farmer planting two (2) types of rice, white and brown rice, concurrently in his rice field using the same resources and technology and harvesting them at the same time. Given that consumers like to mix both white and brown rice in their daily consumption, explain the effect on the white rice market when the price of brown rice increases. Support your answers with suitable white rice market diagrams. Consider a farmer that produces both white and brown rice. It is discovered that the demand for brown rice is relatively more inelastic compared to the demand for white rice. Initially the price of both white and brown rice is the same and the farmer produces the same quantity of white and brown rice. Now there is an improvement in agricultural technologies that affect both white and brown rice equally. Employ the demand and supply model to compare and contrast the effects on the equilibrium price and quantity of both white and brown rice…