For each of the following articles below, analyze the impact of a change in demand or a change in supply or both (or it may not necessarily illustrate a change) on price equilibrium price, market price) for the good under consideration and draw the appropriate graph for each article. Use D., S.. P., and O. to symbolize initial demand, supply, equilibrium price and quantity respectively. Use D,, S., P., and Q, to represent the new demand, supply, equilibrium price and quantity respectively 1. Monthly average crude oil prices plunged 50% between January and March. Prices reached an historic low in April with some benchmarks trading at negative levels They are expected to average $35 per barrel in 2020, a sharp downward revision from the October forecast and a 43% drop from the 2019 average of $61 per barrel The downward revision reflects an historically large drop in demand. The decline in crude oil prices has been exacerbated by uncertainty around production agreements among the Organization of the Petroleum Exporting Countries (OPEC) and other oil producers.
For each of the following articles below, analyze the impact of a change in demand or a change in supply or both (or it may not necessarily illustrate a change) on
1. Monthly average crude oil prices plunged 50% between January and March. Prices reached an historic low in April with some benchmarks trading at negative levels They are expected to average $35 per barrel in 2020, a sharp downward revision from the October
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