Suppose the supply of apples sharply increases because of perfect weather conditions throughout the growing season. Assuming no change in demand, explain the effect on the equilibrium price and quantity of apples. Explain why quantity demanded increases even though demand does not change.

Q: Assume coke and diet coke are substitutes for consumers. What would happen to the  equilibrium…

A: Substitute Goods: The goods that can be substituted for one another are known as substitute goods.…

Q: An increase in both the equilibrium price and quantity can be the result of A) None of these answers…

A:

Q: Using appropriate (completely labelled) diagrams, explain the effect upon equilibrium price and…

A: Complementary goods are the goods that are consumed together. For example, pencil and notebooks,…

Q: Agree or disagree, if price of lemonade decrease due to insufficient demand, and its supply decrease…

A: If the price of lemonade decreases due to insufficient demand, and its supply decrease at the same…

Q: The market for gasoline has changed in a couple significant ways over the last few years: new…

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

Q: Determine how the equilibrium price and equilibrium quantity in the market for coffee changes if…

A: the price of tea, a substitute for coffee, decreases, The substitute goods are those good which can…

Q: Beef supplies are sharply reduced because of drought in the beef-raising states, and consumers turn…

A: A firm's supply is the quantity that it chooses to sell at a given price, given technology, and…

Q: Which of the following would increase in response to a decrease in the price of ironing boards?…

A: It is stated by the law of demand that there is an opposite relationship between price and demand…

Q: Use the table below to answer the question that follows: Price Quantity Demanded Quantity…

A: In the demand and supply model at the equilibrium price level, the quantity demanded of the good…

Q: Suppose the demand for calendars increases in November. At the same time, the price of the ink used…

A: This statement is correct.

Q: In the market for rye bread, all other things being equal, which of the following would cause the…

A: option a is incorrect as A decrease in supply increases price and an increase in the price of a…

Q: In the market for first year economics textbooks, assuming everything else remains unchanged, the…

A: An increase in demand and a decrease in supply will cause an increase in price of an equilibrium.

Q: Recent medical research has established that drinking wine in moderation can improve heart health…

A: The demand and supply mechanisms are the micro components of an economy that tend to show the…

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: IPhones are mostly made of aluminum. Assume that iPhones are normal goods and that their substitutes…

A: iPhone's are mostly made of aluminium. Here we assume that iPhones are normal goods and that their…

Q: Over the past 20 years, the average price of avocados has more than doubled. Assume that the price…

A: 1 - Yes , it is the reason for rise in price . This is because more health benefit will lead to rise…

Q: If steak is a normal good, when incomes rise, the equilibrium price will _____, and the equilibrium…

A: A normal good is that good whose demand increases when there is increase in the income of the…

Q: what might happen to the equilibrium price and quantity of MacBooks

A: price of silicon (which goes into the production of microchips) were to increase So as this is a raw…

Q: Suppose the market for rum can be described by the following equations: Demand: P= 10- Q,  Supply:…

A: The market is a place where the producers and consumer meet together and strike transactions of…

Q: In the market for candy, a decrease in the price of sugar will cause   Question 13 options:   A)…

A: Law of demand states that there exists an inverse relationship between price and quantity of a…

Q: Discuss how the equilibrium price and quantity change when a change in supply occurs and the demand…

A: The equilibrium price and quantity of a good sold in the market are determined by the forces of…

Q: Consider the market for laptop bags. Suppose the price of laptops decreases. This change has what…

A: Two goods are complements when they are used together

Q: Explain how the market moves to equilibrium in terms of shortages and surpluses and in terms of…

A: The equilibrium price and quantity are determined by the intersection of demand and supply curves in…

Q: What happened to the equilibrium price and quantity of Chick-fil-A when Popeyes released their…

A: Equilibrium price: It is the situation where the price and supply of goods match with demand.

Q: An increase in the price of the cheese used to produce pizza shifts the supply and demand curve of…

A: Cheese is used as a raw material in producing pizza. So, cheese is a factor of production in making…

Q: Assume that the market for yam is currently in equilibrium. Show how the following events will…

A: 1.According to research done on yam,it is found that eating yam would reduce the risk of…

Q: If the price of lemonade decreases due to insufficient demand, and its supply decreases at the same…

A:

Q: What happens in the market for bagels if the price of cream cheese increases? Assume that bagels and…

A: Because cream cheese price will increase,supply of bagels will decrease due to rise in cost of…

Q: Which of the following will decrease the supply of goods?

A: Supplier of goods usually decreases due to increase in  cost of production.

Q: Assume that both the supply of bottled water and the demand for bottled water rise during the summer…

A: Whenever supply and demand both increase, the equilibrium quantity will rise. Equilibrium price…

Q: Suppose equilibrium in the market for strawberries is disturbed by two simultaneous events: a…

A: Ques 1)  The correct option is : The Equilibrium price would increase but effect on quantity is…

Q: Tea and coffee are substitutes. If the price of coffee decreases, what happens in the market for…

A: Substitute goods are those goods that cannot be used together. For example coca cola and Pepsi. If…

Q: If the price of beef rises significantly, what will happen in the market for fast-food hamburgers…

A: Beef is one the important input that is used for producing fast-food hamburgers; therefore, as the…

Q: If the supply of tennis balls, a complement to tennis racquets, decreases, what will happen to the…

A: If the supply of tennis balls decreases, the equilibrium price of tennis balls increases and the…

Q: Explain why the following statement is false: “In the goods market, no seller would be willing to…

A: Supply represents the volume of goods and services that the producers are able and willing to sell…

Q: Suppose a market is initially in equilibrium. Then a change occurs and the equilibrium price…

A: The markets are operated by the buyers, and sellers in the market, where both the buyers, and…

Q: As winter turns to spring, the weather begins to get warmer. Therefore, the equilibrium price for…

A: Market demand for a commodity can change as a result of a change in consumers income, their tastes…

Q: Consider the following events: Scientists reveal that consumption of oranges decreases the risk of…

A: A study showing that eating oranges reduces the risk of diabetes will increase the demand of oranges…

Q: What would be a good synonym for “equilibrium" in the term “equilibrium price"? Explain your choice.

A: The sum of money at which a product may be exchanged in a marketplace is referred to as market…

Q: Consider the market for cheese.  If the price of milk increases, what will be the consequences?…

A: All the goods in the market has a value. That value is paid by the consumers who wants to obtain the…

Q: Recent wildfires in northern California have destroyed much of the vineyards and grapes from which…

A: Market equilibrium refers to a point where the demand for a particular good is equal to its supply.…

Q: An increase (rightward shift) in the demand for a good will tend to cause: An increase in the…

A: The rightward shift in the demand curve can be seen in the graph below:

Q: Illustrate and explain the effects of decrease in supply and increase in demand of the same…

A: The equilibrium is set up where the demand and supply are equal.

Q: Many changes are affecting the market for oil. Predict how each of the following events will affect…

A: Eqm price and quantity are found by the intersection of dd(demand) and ss(supply) in the  market. dd…

Q: Suppose the price of gasoline is $1.60 per gallon. Is the quantity demanded higher or lower than at…

A: Equilibrium is the point of stability at which both the demand and supply forces are in balance.

Equilibrium Price and Quantity

Equilibrium refers to a state of balance that comes about because there is equality in all forces.