1. Explain, using supply and demand analysis, why the price of sugar has been increasing recently. 2. Do you think a) the supply and b) the demand for sugar is price elastic or inelastic? Justify your choices and explain whether this means any given change in supply or demand will have a bigger effect on the equilibrium price of quantity. 3. In what ways is the market for sugar used in confectionery related to the market for ethanol? 4. How might companies such as Mars and Nestle react to an increase in the price of sugar