Assign1 - University of California, Irvine Department of...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
University of California, Irvine Department of Economics Economics 100 B: Intermediate Economics II Summer 2008 Prof. Safarzadeh Assignment #1 Student Name :_________________ I - In each problem below, you are to illustrate the market for gasoline with the appropriately shaped standard demand and supply curves. In each case, draw the shift in the demand and supply which result from the actions taken in the market or changes in related variables. Indicate in the space provided whether each variable and demand and supply will increase (+), decrease (-), remain unchanged (0), or have ambiguous sign (?). Please, number the curves so that the direction of each shift will be clear. Mark the original equilibrium by E 1 and the final equilibrium by E 2. Also, assume that none of the curves are perfectly inelastic or perfectly elastic i.e., the standard demand-supply model. Gasoline is assumed to be a normal good.
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 02/20/2009 for the course ECON 62240 taught by Professor Safarzadeh during the Winter '09 term at UC Irvine.

Page1 / 3

Assign1 - University of California, Irvine Department of...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online