1. In the following cases, explain what happens to demand or quantity demanded and how the change would be shown on a graph of the demand schedule. I. Assuming that tickets to an NFL game are normal goods, what is the effect of an increase in the incomes of NFL fans? II. Assuming that DIRECTV and Dish satellite are substitutes, what happens if the price of a DIRECTV subscription increases? III. Assuming that data plans and cell phones are complements, what happens if the price of data plans decreases?

2.Why are economists so particular about the difference between an increase in quantity demanded and an increase in demand? Aren't they the same thing?Provide examples.

3. Suppose a nation is considering two alternative policies to protect a domestic industry from world trade. The two policies are an import quota of X units and a per-unit tariff that would reduce imports to X units. Though either policy would result in only X imported units of this good, there is a fundamental difference in the outcome. Explain this difference.