Using the graphs provided, show the change in equilibrium price for each of the following cases. Explain your answers by indicating the factor that caused the shift. Also, explain/label what happens to the equilibrium price and quantity?

Using the graphs provided, show the change in equilibrium price for each of the following cases. Explain your answers by indicating the factor that caused the shift. Also, explain/label what happens to the equilibrium price and quantity?

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter5: Elastic And Its Application

Section: Chapter Questions

Problem 5PA

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Question

a) There is an increase in the price of Android phones. How will this impact the market for phones?

b) A war in the Middle East interrupts the flow of fertilizer to Western countries. How will this impact the market for fertilizer in Western countries?

a)
Explanation:
What is the effect on
Price and
Q
Quantity
b)
Explanation:
What is the effect on
Price and
Price ($)

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