1.Describe how each of the following will affect the demand for hybrid cars:

a. A rise in income (assuming that computers are a normal good)

b. Consumers expect prices of hybrid cars to fall in the future.

c. Price of gasoline rises.

d. Increased number of campaigns in favor of protecting the environment.

2.Describe how each of the following will affect the supply of personal computers:

a. A rise in wage rates

b. An increase in the number of sellers of computers

c. A tax placed on the production of computers

d. A subsidy for the production of computers

3.Refer to graph below to answer the following questions