Micro Economics For Today
10th Edition
ISBN: 9781337613064
Author: Tucker, Irvin B.
Publisher: Cengage,
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Chapter P2, Problem 6KC
To determine
The impact of the increased wage of the grape pickers.
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The figure above shows a market that is originally at equilibrium at Point A, the intersection between been supply curve S1 and demand curve D1.
Which of the following events would result in the market reaching a new equilibrium at Point C?
Question 10Answer
a.
An increase in supply and a decrease in the quantity demanded.
b.
A decrease in supply and an increase in the quantity demanded.
c.
A decrease in the quantity supplied and a decrease in demand.
d.
A decrease in supply and a decrease in the quantity demanded.
What happens when Tropical Storm Edna produces heavy rains that destroy a significant portion of the orange crop?
What is the effect of this tropical storm on the EQUILIBRIUM PRICE of oranges?
A.
Equilibrium price will DECREASE as a result of this tropical storm.
B.
Equilibrium price will INCREASE as a result of this tropical storm.
C.
Equilibrium price will REMAIN THE SAME as a result of this tropical storm.
What is the effect of this tropical storm on the EQUILIBRIUM QUANTITY of oranges?
A.
Equilibrium QUANTITY will DECREASE as a result of this tropical storm.
B.
Equilibrium QUANTITY will INCREASE as a result of this tropical storm.
C.
Equilibrium QUANTITY will REMAIN THE SAME as a result of this tropical storm.
2. Explain what will be the result of cheaper sugar used in production of cakes at Bread Talks.
What factor is this? Draw the graph and show the change.
3) Discuss the results of an increase in the price of crude oil for production of petroleum.
Discuss how supply and price of petroleum will be changed?
What factor is this? Draw the graph and show the change.
Ⓒ
If the price of chicken increases, discuss the changes in the market demand for beef.
What factor is this? Draw the graph and show the change.
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- What is the new market equilibrium? The new equilibrium price is $ enter your response here a bar and the new equilibrium quantity is enter your response here bars a day.arrow_forwardOnly typed answerarrow_forwardSuppose the supply curve increases, based on the model of supply and demand explain what happens to equilibrium price and equilibrium quantity. Suppose the demand curve decreases, based on the model of supply and demand explain what happens to equilibrium price and equilibrium quantity.arrow_forward
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