In each problem, you must explain the scenario’s effect on the market. If the quantity supplied or the quantity demanded changes, state how (increase or decrease). If instead, the scenario meets one of the criteria above, indicating there is a shift. If one of the curves shifts, state why and the direction it shifts (left or right). You should then state the effect on price (increase or decrease). . ⦁ You are a wheat farmer. Locusts attack your wheat. ⦁ Price of gasoline goes up. You own a gas station. ⦁ The price of corn goes up. You normally plant soybeans.
In each problem, you must explain the scenario’s effect on the market. If the quantity supplied or the quantity demanded changes, state how (increase or decrease). If instead, the scenario meets one of the criteria above, indicating there is a shift. If one of the
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⦁ You are a wheat farmer. Locusts attack your wheat.
⦁ Price of gasoline goes up. You own a gas station.
⦁ The price of corn goes up. You normally plant soybeans.
⦁ The price of peanut butter goes up. You sell jelly.
⦁ Your patent runs out on your popular and necessary drug.
⦁ Amazon has picked your small town to be their new worldwide headquarters.
⦁ The country is going into a recession. You sell jewelry.
⦁ The price of TVs just decreased by 20%.
⦁ Your product was declared one of "Oprah's Favorite Things."
⦁ You grow cotton and Eli Whitney just invented the cotton gin.
⦁ A hurricane is predicted to hit the rich coffee growing area of Colombia. You sell coffee.
⦁ Congress just passed a tax credit for energy efficient home improvements. You sell solar panels.
⦁ Soldiers come home from World War II, get married, and need housing for their families. You build houses.
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