Some states are requiring that ethanol be mixed with gasoline to comply with anti

Some states are requiring that ethanol be mixed with gasoline to comply with anti

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a) Some states are requiring that ethanol be mixed with gasoline to comply with anti- pollution laws. Ethanol can be made from corn. What effect are these policies having on  the equilibrium price and quantity of corn? b) Discuss your understanding of the concept "demand" and list Discuss your understanding of the concept "demand" and list the factors (variables) that affect demand. Do the same with Supply. c) Differentiate between "movement along the demand curve" and the "shift in demand".Do  the same with Supply. d) There is an inverse relationship between a product price and the quantity of that product  demanded; while there is a direct relationship between the product price and the quantity supplied of  that product. Expatiate on these sentences and cite an example or two to back this up. ) Some states are requiring that ethanol be mixed with gasoline to comply with anti-pollution laws. Ethanol  can be made from corn. What effect are these policies having on the equilibrium price and quantity of  corn? - I think that is one of the good ideas to reduce gasoline pollution from our day to day life. Definitely these  anti-pollution policies will directly effect on existing equilibrium price. As per equilibrium theory market will  move base upon the consumer demanded equals the quantity supplied by producers. In this situation  corn demand may increase drastically if ethanol is used and it is up to the supplier whether they can meet  the quantity of corn demanded. As a result the equilibrium price may fluctuate.   b) Discuss your understanding of the concept "demand" and list the factors (variables) that affect demand.  Do the same with Supply. 
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Some states are requiring that ethanol be mixed with gasoline to comply with anti

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