econ sem 1 tues - There is a sample at the bottom to show a...

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There is a sample at the bottom to show a sample of the diagram they want. 1. Illustrate in a diagram what would happen to supply and demand for cookies if the following events were to happen: a) The price of milk rises. b) The price of cookies falls. c) Consumers’ income drops. 2. Refer to the table below. What is the equilibrium price and quantity? Describe the situation at a price of $1 and at a price of $5. Price ($) Quantity Demanded Quantity Supplied 1 50 30 2 45 35 3 40 40 4 35 45 5 30 50 3. Refer to the table above and graphically describe what would happen in this market if a price ceiling of $4 were imposed. What if the price ceiling was imposed at $2? 4. During summer, the price of swimsuits increases and the quantity sold also increases. Is this a violation of the law of demand? 5. Evaluate the following statement: “If the price of sugar increases, the price of coffee will fall.
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6. Using the following schedule, define the equilibrium price and quantity. Describe the situation at a price of $7. What will occur? Describe the situation at a price of $3. What will occur?
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econ sem 1 tues - There is a sample at the bottom to show a...

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