Consider the market for Uber taxi service in a city. What will happen to the equilibrium price and quantity of Uber taxi service in each of the following events? Explain your answers with a demand and supply diagram(s). Assume Uber taxi services and City taxi services are substitutes. You should state whether demand or supply(or both) have shifted and in which direction with relevant diagrams. (In each case assume ceteris paribus) a) City taxi drivers go on strike. b) Citizens favour using Uber taxi services c) Gasoline prices of Uber taxi decrease by 20%.
Consider the market for Uber taxi service in a city. What will happen to the
a) City taxi drivers go on strike.
b) Citizens favour using Uber taxi services
c) Gasoline prices of Uber taxi decrease by 20%.
d) The citizens favor to use Uber taxi services.
e) The market price of Uber taxi service decreases.
f) Event (a) and event(c) occur at the same time. Show all possible outcomes.
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please provide steps for (f) the two events occur at the same time : a) City taxi drivers go on strike. & c) Gasoline
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