1A.4 The following table shows the relationship between the price of airline tickets from London to New York and the number of passengers. a. Is the relationship between the price of airline tickets from London to Los Angeles and the number of pas- sengers a positive relationship or a negative relationship? Explain. b. Plot the data from the table on a graph, draw a line through the points, and calculate the slope of the line. Price Number of of air passengers tickets (Million) Month $300 120 June $500 200 July $800 320 August $600 240 September $450 180 October1.13 The nation of Billabong is able to produce surfboards and kayaks in combinations represented by the data in the fol- lowing table. Each number represents thousands of units. Plot this data on a production possibilities graph and explain why the data shows that Billabong experiences increasing opportunity costs. A B C D E Surfboards 0 20 40 60 80 Kayaks 87 24 18 10 05.3 Do you agree or disagree with each of the following statements? Briefly explain your answers and illustrate each with supply and demand curves. a. The price of a good rises, causing the demand for another good to fall. Therefore, the two goods are substitutes. b. A shift in supply causes the price of a good to fall. The shift must have been an increase in supply.5.11 The following table represents the market for solar wireless keyboards. Plot this data on a supply and demand graph and identify the equilibrium price and quantity. Explain what would happen if the market price is set at $60, and show this on the graph. Explain what would happen if the market price is set at $30, and show this on the graph. Quantity Quantity Price Demanded Supplied $ 10.00 20.00 30.00 UN b a WO 40.00 50.00 60.00 18 70.00 4The Questions below are from your course textbook , K.Case R.Fair and S. Oster, Principles of Economics, 12th edition, Prentice Hall. Chapter 1 Page 55 , 1A.4 Chapter 2 Page 75 , 1.13 Chapter 3 Page 104 , Q 5.3 (a , b ) Page 105 , Q5.11 Chapter 5 Using the midpoint formula calculate the price elasticity for the below changes in demand P Q Demand for $7.00 per $6.00 per pound 700 pounds per 1,200 pounds a. Nuts pound month per month b. Gaming device $80 $120 70 per year 65 per year