1) a)Suppose the demand and supply curves for the market of wedding cakes is given as Qd= 50-5P Qs= 20+10P Equilibrium P is __________. Equilibrium Q is __________. b) Explain what happens to equilibrium price and quantity of wedding cakes when there is decrease in number of pastry chefs. c) Explain what would happen to the market of wedding cakes, when tax is introduced in the market? d) Explain what happens when tax of magnitude T is levied on seller?

Q: Hurricane Katrina damaged a large portion of refining and pipeline capacity when it swept through…

A: The result of the above case was that many gasoline distributors were not able to maintain normal…

Q: From the table below. 1- Draw Demand Curve 2- Draw supply curve 3- Draw market equilibrium

A:

Q: Which one of the following statements is incorrect? At equilibrium: A. demand is equal to supply. B.…

A: Equilibrium is a point of rest that is the point from which neither the buyer nor the seller has nay…

Q: Suppose the supply curve is given by Q=3P and the demand curve is given by P=20-Q. What is the…

A: The equilibrium price is the point where the supply of commodities and the demand for those things…

Q: Assume a market for a normal good is currently in equilibrium. If the expected price of the good is…

A: Introduction: When the government imposes taxes on the firms, the supply curve of the firm shifts…

Q: In the following question you are asked to determine, other things equal, the effects of a given…

A: Answer: Correct option: A (increase D, increase P, increase Q) Explanation: The determinant here is…

Q: Assume a market for a normal good is currently in equilibrium. If the government increases the taxes…

A: In the given diagram, the market is initially in equilibrium at E1. Equilibrium price and quantity…

Q: If demand is :Qd = 850 - 10P and supply is: Qs = 50 + 20 P Where: Qd = quantity of the good…

A: Here, demand equation is given as: Qd=850-10P And supply equation is given as: Qs=50+20P Where, Qd…

Q: 1.11 An increase in supply... a) indicates that more is supplied at higher prices. b) indicates that…

A: The equilibrium price and quantity in a market are determined by the forces of demand and supply.…

Q: Assume gadgets are sold in a competitive market, the equilibrium price is $6, and the equilibrium…

A: A demand curve can shift so that more or less of the commodity would be demand at any commodity…

Q: Price £/unit E B. 'D3 D1 D2 Quantity Figure 4 Supply and demand curves for a normal good Figure 4…

A: Macroeconomics and microeconomics are the two important branches of economics and both are important…

Q: Suppose that in the market for computer memory chips, the equilibrium price is $50 per chip. If the…

A: The equilibrium in a market is achieved where the quantity demanded is equal to the quantity…

Q: Given the following information about the supply of and demand for apples: Price  Quantity…

A: Perfect competition refers to the situation where there are many buyers and sellers exist in the…

Q: Following below are four graphs and four market scenarios, each of which would cause either a…

A: Supply curve shows different combinations of price and quantity supplied.

Q: There is an increase in the equilibrium price of gasoline, and an increase in the equilibrium…

A: The curve that depicts various quantities of goods and services being produced at different levels…

Q: In this problem, p is in dollars and x is the number of units. The demand function for a product is…

A: Demand function: - demand function is a functional relationship between the quantity demanded and…

Q: An increase in supply, not caused by a change in market price, is represented byA) a move down the…

A: The amount of a resource that firms, producers, laborers, financial asset providers, and other…

Q: Consider the market for the normal good Corn Flakes.  Assume the supply and demand curves have…

A: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question and…

Q: 10.Which of the following would cause the demand curve for brooms to shift to the right, assuming…

A: We will answer the first question since the exact one was not specified. Please submit a new…

Q: Suppose that the price in this market is the market price, P2. Which rectangles or triangles…

A:

Q: Q 1.4 Which one of the following is a condition for a market to exist?  (a) A potential buyer and a…

A: Elastic demand is when the percentage change in quantity demanded is more than percentage change in…

Q: Q60 Given a typical downward-sloping demand curve in a market that has reached its equilibrium, the…

A: Q60 Given a typical downward-sloping demand curve in a market that has reached its equilibrium,…

Q: Which factor that influences change in buying plan, other than price of good? Find [05] out market…

A: There are many reasons due to which the demand or the buying plan of the consumers change other than…

Q: 1.11 An increase in supply... a) indicates that more is supplied at higher prices. b) indicates that…

A: Since you posted multiple questions, we will provide you with the answer to the first question only.…

Q: The cost of lithium-ion batteries, an input into the production of electric vehicles, has been…

A: Price - decreases Quantity - increases

Q: Price £/unit E 'D3 D1 D2 Quantity Figure 4 Supply and demand curves for a normal good Figure 4 shows…

A: Market equilibrium is determined when the quantity demanded of a good is equal to the quantity…

Q: The demand and supply functions for good x and good y are given as: Q = 145-2Px + Py Q= = -45 + Px Q…

A: Introduction Demand for a commodity is the amount of a commodity that a consumer will purchase it at…

Q: Q.1.7 If there is a strike in the milk production industry, then, ceteris paribus;  (a) the demand…

A: Answer (1.7): c (the supply of milk will decrease) Explanation: If there is a strike in the milk…

Q: Suppose the equilibrium price of good X is $10 and the equilibrium quantity is 60 units. If the…

A: Price=$10 Quantity=60 units; Price=$4

Q: Please provide answers no need long explanation just a simple one. Consider the rice market, if…

A: Meaning of Production Function: The term production function refers to the situation under which a…

Q: Figure 5 Supply and demand curves for a normal good Figure 5 shows a supply (S,) and demand curve…

A: The Aggregate Demand curve shows the total quantity of all the goods and services demanded by the…

Q: Your instructor gives you two equations: 1) Q = 40 + 2P and 2) Q = 100 – 4P. What types of curves…

A: If the price of a given item increases, the amount demanded decreases, all else being equal; the…

Q: Which of the following statements is false?  a. As more buyers enter the market, the market demand…

A: Demand: It shows an inverse relationship between the price of the commodity and the demand for that…

Q: In the following question you are asked to determine, other things equal, the effects of a given…

A: Normal goods refer to those goods which show the positive relationship between the consumer income…

Q: Assume a market for a normal good is currently in equilibrium. If consumers's incomes decrease,…

A: A fall in demand will cause the equilibrium price to decrease and the quantity supplied will also…

Q: Given demand and supply equation as follows: Qd = 100 - 5P Qs = 20 + 5P a) find the equilibrium…

A: The market is in equilibrium when quantiy demanded equals quantity supplied. So we equate the demand…

Q: Figure 4 shows a supply (S1) and demand curve (D;) for a normal good - illustrated by the continuous…

A: Given, The given graph shows shift in demand and supply curves according to different situations…

Q: In the following question(s) you are asked to determine, other things equal, the effects of a given…

A: Substitute goods are those goods that can be used in place of each other and these goods satisfied a…

Q: Consider a market where demand and supply satisfy the following equations Q­D = 12 – 2 P, QS = 2P.…

A: The provided demand and supply function are: Q­D = 12 – 2 P, QS = 2P

Q: Suppose that our demand curve is given by P = 5 - 0.1Q. The supply curve is given by P = 1+0.4Q.…

A: Answer; Equilibrium price is $4.2

Q: Consider the market for home improvements. If the cost of wood increases sharply, then the (demand…

A: Demand is the quantity of the commodity or service that consumers buy at various price points during…

Q: Calculate the equilibrium P.

A: At equilibrium point quantity demand and quantity supply will be equal.

Q: equilibrium price, and then the demand curve for X shifts rightward. What is the likely outcome of…

A: A surplus exists in the market when the quantity supplied exceeds the quantity demanded. A shortage…

Q: QUESTION 11 If the demand equation is D(x) = 109 - 3.9x and the supply equation is S(x) = 6.3x + 35,…

A: D(x) = 109 - 3.9x S(x) = 6.3x + 35

Q: Price £/unit 'D3 D1 D2 Quantity Figure 5 Supply and demand curves for a normal good Figure 5 shows a…

A: Demand Curve: - demand curve is the graphical way of showing the relationship between the quantity…

Q: Suppose the total demand for wheat and the total supply of wheat per month in the Kansas City grain…

A: Demand is the willingness and ability of consumers for consuming goods and services at different…