II. What will happen to Demand(D), Supply(S), new Equilibrium Price(P*), and new Equilibrium Quantity(Q*) when the market condition changes as the following. Explain the reason and draw relevant graphs supporting your analysis. A. Market: Plywood in Florida Event: The Hurricane Center increases the probability of Hurricane to make a landfall in Florida B. Market: Bauxite Event: GM is able to increase the mph of its vehicles by using more aluminum in cars and so plans to use more aluminum. Bauxite is a resource in producing aluminum. C. Market: Skateboards Event: The price of fiberglass rises (Fiberglass is a substance used for making skateboards) D. Market: Hamburger Event: 1. A new processing technology lowers the production cost of hamburger patties AND, simultaneously, Event: 2. The Surgeon General advocates eating only 2 ounces of red meat per day for health concerns E. Market: Chicken Event 1. Avian flu spreads fast hurting chicken producers AND, simultaneously, Event 2. Beef prices fall a lot, making beef more affordable to consumers
II. What will happen to Demand(D), Supply(S), new
Explain the reason and draw relevant graphs supporting your analysis.
A. Market: Plywood in Florida
Event: The Hurricane Center increases the probability of Hurricane to make a landfall in Florida
B. Market: Bauxite
Event: GM is able to increase the mph of its vehicles by using more aluminum in cars and so plans to use more aluminum.
Bauxite is a resource in producing aluminum.
C. Market: Skateboards
Event: The price of fiberglass rises
(Fiberglass is a substance used for making skateboards)
D. Market: Hamburger
Event: 1. A new processing technology lowers the production cost of hamburger patties
AND, simultaneously,
Event: 2. The Surgeon General advocates eating only 2 ounces of red meat per day for health concerns
E. Market: Chicken
Event 1. Avian flu spreads fast hurting chicken producers
AND, simultaneously,
Event 2. Beef prices fall a lot, making beef more affordable to consumers
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