Carefully explain what is happening in the following markets.  Indicate the impact if any on demand, supply, price and quantity.  Electricity is a major input into the production of aluminium, and aluminium is a substitute in supply for steel.  In the market for steel, the effect of an increase in price of elasticity. (i) Impact on Demand? (ii) Impact on Supply? (iii) Impact on Price?

Managerial Economics: A Problem Solving Approach
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ISBN:9781337106665
Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor
Publisher:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor
Chapter8: Understanding Markets And Industry Changes
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Carefully explain what is happening in the following markets.  Indicate the impact if any on demand, supply, price and quantity. 

Electricity is a major input into the production of aluminium, and aluminium is a substitute in supply for steel.  In the market for steel, the effect of an increase in price of elasticity.

(i) Impact on Demand?

(ii) Impact on Supply?

(iii) Impact on Price?

(iv) Impact on Quantity?

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