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Assignment #5 - Supply and Demand Market Equilibrium...

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Supply and Demand Market Equilibrium Assignment First, you need to draw 5 (five) supply and demand graphs. On each graph, label the x and y-axis appropriately. Try to draw each graph below roughly the same (You will need to use Paint to make your graphs – save them as jpegs and them insert them into your Word Document answer sheet). You will have to answer questions about approximations. 1). In the first graph, trucks are the products. Draw a normal supply curve and normal a normal demand curve. 2). Second graph (eggs): draw a normal demand curve with an inelastic supply curve (very steep). 3). Third (natural gas): draw two inelastic curves.
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4). Fourth (yachts): draw an elastic demand curve and a normal supply curve. 5). Fifth (health care): draw an elastic demand curve intersecting an inelastic supply curve.
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Now that you have your five intersecting curves, we will begin to shift them. Read the problems and then shift the curves in the manner you feel will result (You will need to use Paint to make your graphs – save them as jpegs and them insert them into your Word Document answer sheet). Then briefly explain what happens to the price and quantity of the product. DIRECTIONS: Answer the questions in the following manner on the appropriate answer sheet. I. Give short description of the question D. Tell us what happened to demand Up arrow for increase Down arrow for decrease
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