QUESTION 10 11. If Demand decreases and Supply increases O Equilibrium price will decrease while quantity may increase, decrease or stay the same Equilibrium price will increase while quantity may increase, decrease or stay the same Equilibrium quantity will increase while price may increase, decrease or stay the same Equilibrium quantity will decrease while price may increase, decrease or stay the same None of the above QUESTION 11 12. If Demand decreases and Supply stays constant O Equilibrium price will decrease and quantity will increase Equilibrium price and quantity will decrease Equilibrium price and quantity will increase O Equilibrium price will increase and quantity fall None of the above

QUESTION 10 11. If Demand decreases and Supply increases O Equilibrium price will decrease while quantity may increase, decrease or stay the same Equilibrium price will increase while quantity may increase, decrease or stay the same Equilibrium quantity will increase while price may increase, decrease or stay the same Equilibrium quantity will decrease while price may increase, decrease or stay the same None of the above QUESTION 11 12. If Demand decreases and Supply stays constant O Equilibrium price will decrease and quantity will increase Equilibrium price and quantity will decrease Equilibrium price and quantity will increase O Equilibrium price will increase and quantity fall None of the above

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Assume that supply decreases greatly and demand decreases slightly. Which of the following will happen? Equilibrium price will fall and equilibrium quantity will rise. Equilibrium price will rise and equilibrium quantity will fall. O Equilibrium price will rise and equilibrium quantity will rise. Neither equilibrium price nor equilibrium quantity will change.
Consider the market for laptop computers. Click on the graph to the right to determine how the following event will impact this market. Do this by illustrating the event on the graph and then assess its impact on the equilibrium quantity and the market price Event: The price of memory chips used in laptop computers declines. OA. The supply increases, causing the equilibrium quantity to rise and the market price to fall. OB. The supply increases, causing the equilibrium quantity to fall and the market price to rise. OC. The supply decreases, causing the equilibrium quantity to fall and the market price to rise. OD. The quantity supplied increases, causing the equilibrium quantity to rise and the market price to fall. Price (hundreds of 5) 2345674 10 11 12 Quantity (housands per month)
Question 18 A new type of chainsaw increases the productivity of loggers who make lumber. How would this affect the market for lumber? O The equilibrium price would rise and the equilibrium quantity would rise O The equilibrium price would rise but the equilibrium quantity would fall O The equilibrium price would fall but the equilibrium quantity would rise O The equilibrium price would fall and the equilibrium quantity would fall
Suppose that today the market for homes is in equilibrium. Tomorrow both the supply and demand curves for homes will shift to the right. As a result, the equilibrium price . and the equilibrium quantity . O will fall; will fall O will fall; will rise O cannot be determine; will fall O cannot be determined; will rise
13. How shifts in demand and supply affect equilibrium Consider the market for pens. Suppose that the number of students who are allergic to the rubber used in pencil erasers increases, leading more students to switch from pencils to pens in school. Further, the price of plastic, a major input in the pen production process, has dropped sharply. On the following graph, labeled Scenario 1, indicate the effect these two events have on the demand for and supply of pens. Note: Select and drag one or both of the curves to the desired position. Curves will snap into position, so if you try to move a curve and it snaps back to its original position, just drag it a little farther. PRICE (Dollars per pen) 10 PRICE (Dollars per pen) 9 8 1 0 10 9 8 1 0 0 1 0 2 1 Next, complete the following graph, labeled Scenario 2, by shifting the supply and demand curves in the same way that you did on the Scenario 1 graph. 2 Scenario 1 Supply 3 5 6 7 QUANTITY (Millions of pens) 3 Demand Scenario 2 8 Supply 4 5…
Gasoline prices have been and will continue to be a major issue for the economy. From the start of the Covid-19 pandemic up to the present day, gasoline prices have been in the news. ---What has happened to the price of gasoline over the past 12 months? Be specific and include actual prices in your answer. ---Discuss the recent changes in price from a supply and demand standpoint. Have the price changes been due to a change in supply, a change in demand, or both? Explain your answer. ---How did Covid-19 affected the market for gasoline? Which of the main influences of supply and demand do you think were responsible for the price changes? (See textbook pages 90-91 and 97-98.) Be specific and explain why and how the "main influences" you chose had an impact on the gasoline market.
Which of the following pair of events leads to a DEFINITE decrease in the price of baby food? * An increase in the birth rate and a decrease in wages for workers in the baby food industry. O An increase in the birth rate and an increase in regulations for baby food production. O An increase in the birth rate and a decrease in regulations for baby food production. A decrease in the birth rate and a decrease in wages for workers in the baby food industry. A decrease in the birth rate and an increase in wages for workers in the baby food industry.
When sellers expect the price of allergy medicine to fall in the future, today in the market for allergy medicine: the equilibrium price will fall as the supply curve shifts rightward we will move along the supply curve but the equilibrium price won't change the equilibrium price won't change but the demand curve will shift leftward O the equilibrium price will fall as we move rightward along the supply curve
7 If the supply curve remains unchanged and the demand curve shifts left price increases; quantity increases price increases, decreases, or remains unchanged; quantity decreases price decreases; quantity increases, decreases, or remains unchanged price decreases; quantity decreases
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Listen FIGURE 4-2 Price from Point D to Point C Quantity of Submarine Sandwiches from Point D to Point B F Refer to Figure 4-2. Which movement is consistent with a decrease in demand? from Point C to Point D 51 52 from Point B to Point D D₂
Equilibrium: Work It Out 1 Consider the supply and demand tables for milk. Draw the supply and demand curves for this market. Price (S) 15 14- 13 12 11 10 9 8 7 6 5 4 ليا Milk Market Supply 3 2 1 0 0 10 20 30 40 50 60 70 80 90 100 110 120 130 140 150 Quantity (gallons) The equilibrium price is Demand and the price will and the quilbrium quantity is Price of One Gallon $1 $2 $4 $6 $10 At a price of $10, there is a Quantity Supplied 20 40 70 100 120 Quantity Demanded 150 110 70 50 20 gallons of milk. At a price of $1, there is a and the price will