1. (12 points) Briefly explain the impact each of the following will have on the demand for avocadoes (a normal good). a. A decrease in consumer income. b. An increase in the price of avocadoes c. An increase in the number of acres devoted to avocado production. 2. (12 points) Briefly explain the impact each of the following will have on the supply of avocados. a. A decrease in the wages paid to workers in the avocado industry. b. A new, popular diet fad that calls for people to eat avocadoes with every meal . c. A decrease in the price of avocadoes. 3. (14 points) Suppose the supply and demand curve for avocadoes is given below. P 140 S 75..... 25 D 1500 Q a. At the equilibrium price, what is consumer surplus in this market? b. At the equilibrium price, what is producer surplus in this market? c. Suppose the price of chayote squash, a substitute for avocado, decreases. What impact is this likely to have on consumer surplus in the avocado market? What impact is it likely to have on producer surplus in the avocado market? Briefly explain your answer. If, in either case, the change in surplus cannot be determined, explain why not