homework2

homework2 - Econ 1 Winter 2008 Dr. Narag 1 Homework 2:...

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

View Full Document Right Arrow Icon

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

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

Unformatted text preview: Econ 1 Winter 2008 Dr. Narag 1 Homework 2: Demand and Supply (1) For each of the following events, show the shift in the demand curve and/or supply curve that results from the event, and the change in equilibrium price and quantity a) Medical reports show that oat bran does not reduce cholesterol, contrary to earlier beliefs. What happens to the demand and supply curves for oat bran? What happens to the equilibrium price and quantity of oat bran sold? b) The price of water sold to agricultural producers in California is raised. What happens to the demand and supply curves for vegetables? What happens to the equilibrium price and quantity of vegetables sold? c) An earthquake eliminates 10% of the existing housing in a California town. What happens to the demand and supply curves for housing in this town? What happens to the equilibrium price and quantity of housing sold in this town? d) An insect pest attacks the coffee crop around the world. What happens to the demand and supply curves for...
View Full Document

This note was uploaded on 03/20/2008 for the course ECON 1 taught by Professor Nagata during the Fall '08 term at UCLA.

Page1 / 2

homework2 - Econ 1 Winter 2008 Dr. Narag 1 Homework 2:...

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