1) Due to recent shortage of lobsters, Bob had to increase the price of the lobsters he sells at Bob's Fresh Fish Mart. Please draw a supply and demand graph for the lobsters prior to shortage and after the shortage, with the demand curves clearly labeled (e.g., curve prior change and curve after change). Explain (a) any movement along the supply or demand curve and (b) shift in supply or demand curve. 2) Suppose Americans decide to dramatically reduce Texas as a favored vacation destination. Use a demand and supply graph to analyze the impact on the price and quantity and the equilibrium quantity demanded of lodging units (e.g., hotel room, BnB units, etc.). Assume that the total number of lodging units available in the market does not change. Explain whether Demand or Supply changed (i.e., whether it increased or decreased) and the reason for the change (e.g., are there any determinants that caused the change) For both of the above questions, please provide a supply/demand curve graph with the original equilibrium and show: 1. movement along the supply and/or demand curve(s), if any 2. shift of the supply and/or demand curve(s), if any 3. Explanation of causes of movement along the curves and or shifts in the curves Clearly label any movement along the demand/supply curve or shift in the demand/supply curve, showing both the original Price and Quantity and the resulting Price and Quantify. (See graph below as example of original Price and Quantity). P S P1 D 0 Q1 32