Consider the market for cars. Which determinant of demand is affected by each of the following events? a. Environmentalists launch a successful One Family, One Car campaign: (Click to select) b. A baby boom occurred 16 years ago: (Click to select) c. Layoffs increase as the economy sheds millions of jobs: (Click to select) d. An oil shortage causes the price of gasoline to soar: (Click to select) Number of buyers Prices of related goods Incomes Consumer preferences Expectations e. The government offers tax rebates in return for the purchase of commuter rail tickets: (Click to select) ✓ f. The government announces a massive plan to bail out the auto industry and subsidize production costs (Click to select) If rising incomes cause the demand for beer to decrease, beer is ✓ (Click to select) a normal good an inferior good

Demand and supply often shift in the retail market for gasoline. Here are two demand curves and two supply curves for gallons of gasoline in the month of May in a small town in Maine. Some of the data are missing.  Using the table, answer the following questions:                            Quantities Demanded              Quantities Supplied Price D1 D2 S1 S2 $ 4.00 5,000 7,500 9,000 9,500   6,000 8,000 8,000 9,000 2.00   8,500   8,500     9,000 5,000   Instructions: Enter your answers as whole numbers. A) use the following facts to fill in the missing data in the table. If demand is D1 and supply is S1, the equilibrium quantity is 7,000 gallons per month. When demand is D2 and suppy is S1, the equilibrium price is $ 3.00 per galllon. When demand is D2 and supply is S1, there is an excess demand of 4,000 gallons per month at a price of $ 1.00 per gallon. If demand is D1 and supply is S2, the equilibrium quantity is 8,000 gallons per month.  B) Compare the two…

Draw a supply and demand graph for new cars. Show the impact that the 2008-09 recession (with the decrease in consumer income) had on the market for cars.  You can show this best by shifting one of the curves.  What happens to the price and quantity of new cars?

Demand and supply often shift in the retail market for gasoline. Here are two demand curves and two supply curves for gallons of gasoline in the month of May in a small town in Maine. Some of the data are missing.Using the table, answer the following questions:                                              Quantities Demanded                                 Quantities Supplied Price D1 D2 S1 S2 $7.00 5,000 7,500 9,000 9,500   6,000 8,000 8,000 9,000  5.00   8,500   8,500     9,000 5,000   Use the following facts to fill in the missing data in the table. If demand is D1 and supply is S1, the equilibrium quantity is 7,000 gallons per month. When demand is D2 and supply is S1, the equilibrium price is $6.00 per gallon. When demand is D2 and supply is S1, there is an excess demand of 4,000 gallons per month at a price of $4.00 per gallon. If demand is D1 and supply is S2, the equilibrium quantity is 8,000 gallons per month.  b. Compare the two equilibriums: In the first,…