JulieMxeco212_appendix_b[1] - Axia College Material...

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Axia College Material Appendix B Price Elasticity and Supply & Demand Fill in the matrix below and describe how changes in price or quantity of the goods and services affect either supply or demand and the equilibrium price. Use the graphs from your book and the Tomlinson video tutorials as a tool to help you answer questions about the changes in price and quantity Event Market affected by event Shift in supply, demand, or both. Explain your answer. Change in equilibrium Frozen orange crops in California Orange juice Supply (left)—Not as many available oranges to offer consumers. Price will increase and quantity will decrease. Hurricanes in the Gulf Coast Tourism. The demand (left) is affected. Tourists will not want to travel to Disney and other popular locations. Price will decrease because quantity has decreased. Cost of cotton decreases Clothing makers. Cotton is used greatly in part or whole to develop articles of dress. Supply (right). As the price decreases, the demand will increase. The price is decreasing and therefore, the quantity will increase. Technology improves efficiency in pasta manufacturing Grocery/Pasta makers. The supply (right) is affected. The pasta manufacturers will be able to produce more pasta at a more efficient rate. This means price will
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JulieMxeco212_appendix_b[1] - Axia College Material...

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