Tick the correct cause of the shift in demand, then draweither an inward shift or an outward shift1) The demand for cots after a baby boom 6 months earlierPPopulation changesIncomeIDi neRelated goodsAdvertising and publicityTastesROrD t o nudeOs letenATEExpectations of future pricechangesIS Seasonal factors2) The demand for a t-shirt after a famous celebrity was seen wearing it on TVPPopulation changesIncomeRelated goodsAdvertising and publicityTastesExpectations of future priceIRD eti hOrteD tot n edargATEchangesIS Seasonal factors3) The demand for cars if minimum wage decreasedPPopulation changesIncomeIIRIARelated goodsAdvertising and publicityTastesExpectations of future priceDA tingDt le ndOs letonITEchangesSeasonal factors4) The demand for X-box games if the price of the x-box console decreasedPPopulation changesIncomeIRelated goodsAdvertising and publicityTastesR| ATEExpectations of future pricechangesSSeasonal factors5) The demand for ice-creams if the weather suddenly went coldPopulation changesIncomePIRelated goodsAdvertising and publicityR| ATTastesEExpectations of future pricechangesSSeasonal factors 6) The demand for petrol if tax increases on petrol the following week were predicted torisePPopulation changesDi eneOR Reltelod rireandIIncomeRelated goodsAdvertising and publicityTastesDA Adveriing and pdlyRDf teti eftan phegeOs seonal atnAEExpectations of future pricechangesSSeasonal factors7) The demand for sun loungers after the summerPPopulation changesDI oneIncomeOR eltedgoodonlentnditteCA Metingn yOt tutnOf tention changenOs Sen tutonRelated goodsAdvertising and publicityTastesRАTEExpectations of future pricechangesSSeasonal factorsOIRae I

Tick the correct cause of the shift in demand, then draw either an inward shift or an outward shift 1) The demand for cots after a baby boom 6 months earlier P Population changes Income IR IA Related goods Advertising and publicity Tastes CA Mg N Di t n T E Expectations of future price changes S Seasonal factors 2) The demand for a t-shirt after a famous celebrity was seen wearing it on TV P Population changes Income IR IA Related goods Advertising and publicity Matingp т Tastes E Expectations of future price changes S Seasonal factors 3) The demand for cars if minimum wage decreased Population changes Income Related goods Advertising and publicity Tastes P R De t n A IT E changes т Expectations of future price Seasonal factors 4) The demand for X-box games if the price of the x-box console decreased Population changes Income Related goods Advertising and publicity Tastes P I R A T E Expectations of future price changes S Seasonal factors 5) The demand for ice-creams if the weather suddenly went cold Population changes P I Income IR IA Related goods Advertising and publicity Tastes E Expectations of future price changes S Seasonal factors

Tick the correct cause of the shift in demand, then draw either an inward shift or an outward shift 1) The demand for cots after a baby boom 6 months earlier P Population changes Income IR IA Related goods Advertising and publicity Tastes CA Mg N Di t n T E Expectations of future price changes S Seasonal factors 2) The demand for a t-shirt after a famous celebrity was seen wearing it on TV P Population changes Income IR IA Related goods Advertising and publicity Matingp т Tastes E Expectations of future price changes S Seasonal factors 3) The demand for cars if minimum wage decreased Population changes Income Related goods Advertising and publicity Tastes P R De t n A IT E changes т Expectations of future price Seasonal factors 4) The demand for X-box games if the price of the x-box console decreased Population changes Income Related goods Advertising and publicity Tastes P I R A T E Expectations of future price changes S Seasonal factors 5) The demand for ice-creams if the weather suddenly went cold Population changes P I Income IR IA Related goods Advertising and publicity Tastes E Expectations of future price changes S Seasonal factors

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter3: Demand And Supply

Section: Chapter Questions

Problem 4SCQ: Many changes are affecting the market for oil. Predict how each of the following events will affect...

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Similar questions

Many changes are affecting the market for oil. Predict how each of the following events will affect the equilibrium price and quantity in the market for oil. In each case, state how the event will affect the supply and demand diagram. Create a sketch of the diagram if necessary. Cars are becoming more fuel efficient, and therefore get more miles to the gallon. The winter is exceptionally cold. A major discovery of new oil is made off the coast of Norway. The economies of some major oil-using nations, like Japan, slow down. A war in the Middle East disrupts oil-pumping schedules. Landlords install additional insulation in buildings. The price of solar energy falls dramatically. Chemical companies invent a new, popular kind of plastic made from oil.
Would you expect supply to play a more significant role in determining the price of a basic necessity like food or a luxury like perfume? Explain. Hint: Think about how the price elasticity of demand will differ between necessities and luxuries.
Explain all the reasons why a decrease in a products price would lead to an increase in purchases.
As a general rule, is it safe to assume that a change in the price of a good will always have its most significant impact on the quantity demanded of that good, rather than on the quantity demanded of miller goods? Explain.
A life-saving medicine without any close substitutes will tend to have a. a small elasticity of demand. b. a large elasticity of demand. c. a small elasticity of supply. d. a large elasticity of supply.
Income Effects depend on the income elasticity of demand for each good limit you buy. If one of the goods you buy has a negative income elasticity, that is, it is an inferior good, what must be true of the income elasticity of the other good you buy?
Consider the demand for hamburgers. If the price of a substitute good (for example, hot dogs) increases and the price of a complement good (for example, hamburger buns) increases, can you tell for sure what will happen to the demand for hamburger? Why or why not? Illustrate your answer with a graph.
Economists define normal goods as having a positive income elasticity. We can divide normal goods into two types: Those whose income elasticity is less than one and those whose income elasticity is greater than one. Think about products that would fall into each category. Can you come up with a name for each category?
If a 10 decrease in the price of one product that you buy causes an 8 increase in quantity demanded of that product, will another 10 decrease in the price cause another 3 increase (no more and no less) in quantity demanded?
What does a downward-sloping demand curve mean about how buyers in a market will react to a higher price?