Question 1 For cach of these situations, answer what happens to i) demand, iisunnly, iii) equilibrium price and iv) equilibrium quantity v) Quantity Demanded vi) Quantity Supplied. If nothing happens, state "no change". You can also state with up, down or no change symbols as shown in the lecture video. Draw the market, meaning necessary Demand and Supply graphs, and show the shifts. a.- How will an increase in income change the market for pizza, a normal product? How will ax decrease in supply of Coke affect the market for both Coke and Pepsi.? Assume Coke and Pepsi are substitute products. -1 b. The government were to impose an effective price (rent) ceiling on housing. How will it affect the housing market in question?
Question 1 For cach of these situations, answer what happens to i) demand, iisunnly, iii) equilibrium price and iv) equilibrium quantity v) Quantity Demanded vi) Quantity Supplied. If nothing happens, state "no change". You can also state with up, down or no change symbols as shown in the lecture video. Draw the market, meaning necessary Demand and Supply graphs, and show the shifts. a.- How will an increase in income change the market for pizza, a normal product? How will ax decrease in supply of Coke affect the market for both Coke and Pepsi.? Assume Coke and Pepsi are substitute products. -1 b. The government were to impose an effective price (rent) ceiling on housing. How will it affect the housing market in question?
Principles of Microeconomics
7th Edition
ISBN:9781305156050
Author:N. Gregory Mankiw
Publisher:N. Gregory Mankiw
Chapter4: The Market Forces Of Supply And Demand
Section: Chapter Questions
Problem 8PA
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