2. a. The market for bananas is in equilibrium. Use diagrams to show the effects of the following changes on the equilibrium price and quantity: i. A cyclone destroys 70% of the banana crop ii. A health report shows that a banana a day increases life expectancy. iii. A new harvesting method increases the productivity of banana trees. ii. The government introduces an output tax on bananas. v. The population increases. b. Following a cyclone the price of bananas rises from $3 per kilo to $5 per kilo. The quantity sold declines from 800 tonnes per day to 400 tonnes per day. Calculate the price elasticity of demand for bananas using the mid-point method. Is the demand for bananas elastic or inelastic? Explain your answer.