6. Use supply-anddemand analysis to answer each of the following questions. (a) A catastrophic earthquake and tsunami caused severe damage to several auto parts man- ufacturers located on Japan's coast, disrupting the supply of auto parts to car manufac- turers throughout the world. At the same time, a global economic downturn has led to a decline in household incomes. Based on these two changes, what do you predict would happen to the equilibrium price and quantity in the global market for automobiles? Most consumers like to eat bagels with cream cheese. Suppose there is an increase in the price of our, which is a major ingredient in bagels. What will happen to the equilibrium price and quantity in the market for bagels? And what will happen in the market for cream cheese? Suppose that in the United States, over 55% of podiatrists' patients are over the age of 60. Also suppose the US. Census Bureau predicts that by 2025 the population of people over the age of 60 will be roughly 20% larger than it is today. Absent any other changes, what will this do to the market for podiatrists' services? 7. Consider the market for cheese curds in the ctional town of Willows, WI. Suppose the demand for cheese curds is represented by (2,; = 30 4P and the supply of cheese curds is represented by Q, = 2P. (6) (b) What are the equilibrium price and quantity in this market? Now suppose the residents of Willows become concerned about a rare, cheese-induced disease, and demand for cheese curds is half of what it was before. (In other words, at any given price level, consumers demand half of what they would have before.) What is the new equilibrium price and quantity? Why is the new equilibrum quantity not simply half the equilibrium quantity from part (a)