Part C please. Due to the covid-19 pandemic almost all theworld economies have seen a degrowth lastyear. Based on hypothetical figure explain thebelow mentioned questions.a. Due to the pandemic the both the aggregatedemand and aggregate supply level havefallen equally with the help of an diagramexplain what will be the new price and outputlevel in the economyb. If the pandemic would have only impactedthe aggregate demand how much does theoutput and price level would have changed.c. If the pandemic would have only impactedthe aggregate supply how much does theoutput and price level would have changed.

Aggregate demand: It is the sum total of the final value of all the goods and services that have…

Answered: Due to the covid-19 pandemic almost all…

Principles of Economics (MindTap Course List)

8th Edition

ISBN:9781305585126

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter6: Supply, Demand And Government Policies

Section: Chapter Questions

Problem 3PA

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Explain why the following statements are false.a. “The aggregate-demand curve slopes downwardbecause it is the horizontal sum of the demandcurves for individual goods.”b. “The long-run aggregate-supply curve is verticalbecause economic forces do not affect long-runaggregate supply.”
A change in which of the following would shift theshort-run aggregate-supply curve but not the longrun aggregate-supply curve?a. the labor forceb. the capital stockc. the state of technologyd. the expected price level
In 2018, a cold front in Barbados increased both the demand for water heaters andgasolines. The usage of gasoline was 581 tonnes, an increase from 499 tonnes in theprevious year. The Petroleum Company of Barbados advised Government officials thatdemand could outweigh supply and asked companies to increase the supply. They alsoasked major gasoline users, such as power plants, to reduce demand.i. Illustrate the effect of the cold front on the demand for gasoline using a demandcurve diagram over the two years. ii. Assuming the Petroleum Company of Barbados did not issue a directive for anincrease in supply and a decrease in demand, explain the problem that would existin the economy and how would this be corrected over time. iii. Illustrate the effect of major gasoline suppliers increasing supply as well as usersreducing their demand. iv. Discuss one factor EACH that you think influence demand and supply for waterheaters. Provide examples v. Is demand for gas is price elastic or price…
In 2018, a cold front in Barbados increased both the demand for water heaters andgasolines. The usage of gasoline was 581 tonnes, an increase from 499 tonnes in theprevious year. The Petroleum Company of Barbados advised Government officials thatdemand could outweigh supply and asked companies to increase the supply. They alsoasked major gasoline users, such as power plants, to reduce demand. i. Illustrate the effect of the cold front on the demand for gasoline using a demandcurve diagram over the two years. ii. Assuming the Petroleum Company of Barbados did not issue a directive for anincrease in supply and a decrease in demand, explain the problem that would existin the economy and how would this be corrected over time.
suppose the price of orange juice rises and the apples falls. what would you expect ti happen to the price and quantity of apple juice? why would the equilibrum quanity increase while the impact onbthe equilbrum price be uncertain?
Please please help me asnswer it correctly and fastly The global oil market has been affected in the recent years by many factors that induces the global price to fall. This consequence is vital for the budget of the oil dependent countries. After the huge decrease on oil price in 2016, many traders and analysts believe that oil markets are still not immune to many problems and the oil price will tend to fall again. The main factor and problems toward a fall of the oil price started in 2015 but considering that people and oil companies do not tend to react immediately to the change of oil price, the total consumption and production of oil did not get any surprised changes in the short- run. The main factor that caused the drop on the oil price is the OPEC failure. The member countries of OPEC did not agree to stabilize the oil markets, since the organization decided against cutting production at a 2014 meeting in Vienna. It is estimated that if OPEC does not cut production, the…
Describe the mechanism by which supply creates its osi1 demand.
Consider the following actual and forecast demandlevels for Big Mac hamburgers at a local McDonald’s restaurant:DAY ACTUAL DEMAND FORECAST DEMANDMonday 88 88Tuesday 72 88Wednesday 68 84Thursday 48 80FridayThe forecast for Monday was derived by observing Monday’sdemand level and setting Monday’s forecast level equal to this demand level. Subsequent forecasts were derived by using expo-nential smoothing with a smoothing constant of 0.25. Using this exponential smoothing method, what is the forecast for Big Macdemand for Friday?
Explain the concept of excess demand in macroeconomics. Also, explain the role of open market operation in correcting it. (Kinly explain with diagram)
Prepare a graph of the monthly forecasts and average forecast demand for Garden Room Furniture Ltd., a manufac-turer of outdoor furniture. MONTH PRODUCTION DAYS DEMAND FORECASTJanuary 16 300February 16 300March 23 500April 21 500May 22 800June 22 1000July 21 1200August 20 1500September 20 900October 20 500November 16 300December 16 300
Skii resorts have an inelastic supply, and motorcycles have an clastic supply. Suppose that a rise in population doubles the demand toboth products (that is, the quantity demanded at each price is twice what it was) a.What happens to the equilibrium price and quantity in each market?b. Which product experiences a larger change in price?c. Which product experiences a larger change in quantity?d. What happens to total consumer spending on cach product?
1. What are the following represent downtrend?A. Demand > supply.B. Demand = supply.C. Demand ≠ supply.D. Demand < supply. 2. Which chart type uses more than one data point to plot a particular time interval?A. Point and FigureB. CandlestickC. LineD. Tick 3. Which of the following statements accurately describe a support level?A. Tests of a support level are normally preceded by a price advance.B. Price peaks often define a support point.C. A price level where selling is strong enough to interrupt or reverse an advance.D. A price level where buying is strong enough to interrupt or reverse a decline. 4. Technical analysis is rooted in the basic premise thatA. price behaviour in the financial markets can only be understood by analysis of the underlying economic conditions surrounding the markets. B. price behaviour in the financial markets moves in trends.C. price behaviour in the financial markets is random.D. none of the above. 5. Which of the following would be MOST important to…

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