PROBLEM SET 2 Supply and Demand DEMAND/SUPPLY SCHEDULE 1 DEMAND/SUPPLY SCHEDULE 2 Price Qd Qs Qd + 200 (at each price) Qs + 200 (at each price) $50 200 800 $45 300 700 $40 400 600 $35 500 500 $30 600 400 $25 700 300 $20 800 200 Please complete demand/supply schedule 2 i.e if Qd and Qs from schedule 1 are increased by 200 units. 2.Determine equilibrium Price & Quantity in Schedule 1. 3.Determine equilibrium Price & Quantity in Schedule 2. 4.Assume a price floor of $45 in Schedule 1; what is the result? Assume a price ceiling of $25 in Schedule 1; what is the result? In both cases what is the implication for resource allocation? 5. Distinguish between a change in demand/supply and change in quantity demanded/supplied. 6. In Schedule 2 state four (4) reasons that would shift the demand curve. 7.What are five (5) reasons that would shift the supply curve? ONLY NEED HELP WITH 5,6,7 WOULD BE GREATLY APPREICIATED
PROBLEM SET 2
DEMAND/SUPPLY SCHEDULE 1 DEMAND/SUPPLY SCHEDULE 2
|
Price |
Qd |
Qs |
|
Qd + 200(at each price) |
Qs + 200(at each price) |
|
$50 |
200 |
800 |
|
|
|
|
$45 |
300 |
700 |
|
|
|
|
$40 |
400 |
600 |
|
|
|
|
$35 |
500 |
500 |
|
|
|
|
$30 |
600 |
400 |
|
|
|
|
$25 |
700 |
300 |
|
|
|
|
$20 |
800 |
200 |
|
|
|
- Please complete demand/supply schedule 2 i.e if Qd and Qs from schedule 1 are increased by 200 units.
2.Determine
3.Determine equilibrium Price & Quantity in Schedule 2.
4.Assume a
Assume a
In both cases what is the implication for resource allocation?
5. Distinguish between a change in demand/supply and change in quantity demanded/supplied.
6. In Schedule 2 state four (4) reasons that would shift the demand curve.
7.What are five (5) reasons that would shift the supply curve?
ONLY NEED HELP WITH 5,6,7 WOULD BE GREATLY APPREICIATED
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