Suppose a law is passed banning the use of skateboards on city streets in

Suppose a law is passed banning the use of

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9. Suppose a law is passed banning the use of skateboards on city streets in Minneapolis, what is the likely effect of this law on the market for skateboards? Explain using supply and demand analysis. 10. The supply of frozen orange juice in the U.S. comes from Florida and Brazil. Using supply and demand curves to explain the effect of a freeze that damages oranges in Florida on the price of frozen orange juice in the United States. 11. Suppose the market demand for pizza is given by dQ= 30020Pand the market supply for pizza is given by sQ= 20100P+, where Pis the price/ pizza. a. Determine the equilibrium price and quantity of pizza. b. Suppose the demand for pizza increases to dQ= 50020P. Determine the new equilibrium price and quantity. c. Suppose a price floor of $6.00 is instituted by a regulatory agency. Calculate the dQand the sQof pizza. What is this difference called? d. Assume an excise tax of $1.75 is levied on consumers of pizza. Determine the new equilibrium price and quantity. How will this tax affect supply? Explain. 12. Suppose the Organization of Petroleum Exporting Countries [OPEC] announces that they will cut the production of oil by 15% in the World Market. Explain how this will affect the price of gasoline in the market. Use supply and demand curves. 1
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