Question

Instructions: Complete the questions below Show all your work (neat, well-labeled graphs for 3,4,5 in a clear and organized fashion. +1 for typed assignments with computer generated graphics 1. You observe that at the current price, Po. there is a surplus of the product on the market Q Q. Explain intuitively the change in producer and /or consumer behavior that will occur to equilibrate the market. 2. After a labor strike raises input prices for fast food, economists note that suppliers are having a hard time meeting the demand. What changes in producer and/or consumer behavior do you 3. Show the market for gasoline in equilibrium Show and discuss the effects on P", Q" of an 4 Show the market for Meatballs in equilibrium. Then show and discuss the effects on P", Q" of 5. Jean, an organic butcher, is a monopolistically competitive producer in the CR MSA. Show the subsidize another local producer, Leah, who produces genetically modified beef. Show Leah's expect to see next (explain intuitively with a graph)? expected shortages due to the recent hurricane. an increase in the prices of both spaghetti and Italian sausage market for Jean in equilibrium. Suppose the CR chamber of commerce initiates a program to market prior the subsidy alongside's Jean's (two separate graphs) Show the effects of the subsidy in both markets and summarize with a nice intuitive explanation Use formal academic style: Write (or type) neatly, omit anything that is sloppy, and clearly identify your answers. These should be extraordinarily accurate and neat. Late and/or emailed submissions will not be accepted Page 1 , 1 |-