9. Consider the market for SUVs. a. Start in Equilibrium (be sure to label all relevant points) b. Change at least one of the ceteris paribus conditions. Now consider the market for SUVs if a hurricane hits in the gulf region, damaging some of the oil platforms and oil refineries in the region. c. Examine the changed incentive. Which curve(s) has(have) changed? Why? (i.e. – which of the ceteris paribus conditions have changed?) _______________________________________________________

9. Consider the market for SUVs. a. Start in Equilibrium (be sure to label all relevant points) b. Change at least one of the ceteris paribus conditions. Now consider the market for SUVs if a hurricane hits in the gulf region, damaging some of the oil platforms and oil refineries in the region. c. Examine the changed incentive. Which curve(s) has(have) changed? Why? (i.e. – which of the ceteris paribus conditions have changed?) _______________________________________________________

Microeconomics

13th Edition

ISBN:9781337617406

Author:Roger A. Arnold

Publisher:Roger A. Arnold

Chapter3: Supply And Demand: Theory

Section: Chapter Questions

Problem 3QP

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6. Consider again the market for pizza. a. Start in Equilibrium (be sure to label all relevant points) b. Change at least one of the ceteris paribus conditions. This time, there’s been no change in the price of beer. But a study was just released that shows, conclusively, that eating pizza makes you smarter. c. Examine the changed incentive. Which curve(s) has(have) changed? Why? (i.e. – which of the ceteris paribus conditions have changed?) _______________________________________________________ d. Identify the change(s) in direction, and draw into the above market. e. Finish in equilibrium. What are the effects on price and quantity?
5. Consider the market for pizza.a. Start in Equilibrium (be sure to label all relevant points)b. Change at least one of the ceteris paribus conditions. Assuming pizza and beer go well together, consider the market for pizza if the price of beer goes up.c. Examine the changed incentive. Which curve(s) has(have) changed? Why? (i.e. – which of the ceteris paribus conditions have changed?) _______________________________________________________d. Identify the change(s) in direction, and draw into the above market.e. Finish in equilibrium. What are the effects on price and quantity?
TRUE or FALSE. If the statement is correct, write TRUE on your answer sheet. If thestatement is incorrect, write FALSE. Explain why you answered TRUE or FALSE. 1. To some extent economics is about trade-offs. 2. If there is evidence that consumer income and the price of smartphones have influence onthe demand for tablet computers, the leftward shift in the demand curve of tabletcomputers is caused by a decrease in the price of tablet computers. 3. If fish and chicken are substitute goods, when the price of fish decreases with bountifulharvest, there will be a decrease in the quantity demand for chicken. 4. If organic virgin coconut oil (VCO) has been proven to enhance your immune systemagainst corona virus, the price VCO will increase because of a shift in supply and anunchanging demand curve.
Refer to Figure 2-1 What is the market equilibrium quantity?
Explain the impact of each of the following scenarios on only the market for apples in Gauteng. >state whether each of the following scenarions will impact the demand or supply cirves for apples > state whether the impact will shift the curve or cause a movement along a curve > if is is a shift, state the direction of the shift and motivate your answer Q2..1 Eating apples is considered unhealthy ,ceteris paribus. Q2.2 The number of firms selling apples in Gauteng has decreased.
In your understanding, briefly discuss the following, application to current situations. Follow the manner, matter, and method of answering. 1. Substitution and income effects 2. Principle of marginal diminishing utility 3. Changes in the demand curve 4. Supply curve 5. Factors affecting the supply of a commodity (each)
12. The price in the market which is resulted from the interaction of supply and demand is called : Choose one answer : O. Economic development O. Traditional economics O. Political economy O. All of the above .
usiness EconomicsQ&A Library) If the price of good X increases from RM3 to RM5, the quantity demanded drops from 10 to 12. Find the slope of the demand curve. a) 0.2 b) 5 c) -1 d) -2 Other: 8) Based on Question 7, calculate the quantity when the price is equal to 0 a) 13 b) 2 c) 10 d) 5 9) Based on Question 7, if the market price is equal to 1, determine how many units of good X will be sold in the market. a) cannot be determined b) 12 c) 10 d) 14 Oh no! Our expert couldn't answer your question. Don't worry! We won't leave you hanging. Plus, we're giving you back one question for the inconvenience. Here's what the expert had to say: (7) - wrong data. "quantity demanded drops from 10 to 12" is wrong since value from 10 to 12 is an increase, not a drop. Ask Your Question Again 6 of 10 questions left until 1/15/21 Question I. If the price of good X increases from RM3 to RM5, the quantity demanded drops from 10 to 12. Find the slope of the demand curve. a) 0.2 b) 5 c)…
Suppose during a summer , unexpected rains and subsidized fertilizers allows the crop of sugar cane to be higher than usual. This leads to increased supply of sugar in the market economy.Considering this scenario, answer the questions a) How this event affects the price of Sugar? b) If sugar and ice cream are compliments then how the supply of ice cream would be affected? c) Keeping the conditions of part (b), Explain whether there is a shift or movement in supply curve of ice cream d) As a result of increased supplies of sugar, whether there is a shortage or ice cream or surplus of ice cream in the market economy and why? e) If the new equilibrium is formed, what happened to new price and new quantity? whether they are different from previous values of equilibrium quantity and equilibrium price or not? Regards....
7) By definition, an inferior good is aa) Good for which demand decreases when income increase. b) Want that is not expressed by demand.c) Normal substitute good.d) Good for which demand decreases when its price rises.8) The study of the decisions of individual units in the economy is known asa) Microeconomicsb) Macroeconomicsc) The Study of incentivesd) Ceteris Paribus Study 9) If a good has a price, then it is considered _______ ?
(9) What determines the utility an individual receives from consuming a good? Select one: a. The individual’s own preferences. b. The demand and supply curves for that good. c. The producers conducting customer feedback surveys of that good and the feedback provided. (10) Denzel bought headphones two months ago, Solo2 Beats by Dre, for $130. He gives them to his little brother and goes online to buy another for himself but they are now $160. What is the percentage change in the headphone’s price? Select one: a. 23% b. 30% c. 21%
Explain the impact of each of the following scenarios on ONLY the market for apples in Gauteng.• State whether each of the following scenarios will impact the demand or the supply curves for apples.• State whether the impact will shift the curve or cause a movement along the curve.• If it is a shift, state the direction of the shift and motivate your answer. Q.2.1.1Eating apples is considered unhealthy, ceteris paribus.Q.2.1.2The number of firms selling apples in Gauteng has decreased.Q.2.1.3The price of bananas (a substitute in consumption) has increased.Q.2.1.4The price of input costs has increased, ceteris paribus.Q.2.1.5Household incomes have increased. Assume that apples are a normal good.