Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Can you please help me solve these 11 Econ questions? I also attached the chapter just in case. Thanks so much!! :) en... 1 6
Can you please help me solve these 11 Econ questions? I also attached the chapter just in case. Thanks so much!! :)
en... 1 6 (+ 66.7% Use Figure 1 to answer questions 1-5 below. Identify whether or not the demand and supply curves shift, and determine what happens to equilibrium price and quantity as a result. Begin each problem at point A. Figure 1 U.S. Market for Wheat 1. (3) Wealth increases due to a boom in the stock market. Highlight all that apply. P ($ per bushel) a. Demand for wheat will increase (shift right). b. Demand for wheat will decrease (shift left). c. Supply of wheat will increase (shift right). d. Supply of wheat will decrease (shift left). $5 e . The equilibrium price of wheat will increase. f. The equilibrium price of wheat will decrease. g. The equilibrium quantity of wheat will increase. D h. The equilibrium quantity of wheat will Q (trillions of decrease. bushels per year) 2. (3) Lower oil prices cause the price of fertilizer used in growing wheat to decrease. Highlight all that apply. a. Demand for wheat will increase (shift right). b. Demand for wheat will decrease (shift left). c. Supply of wheat will increase (shift right). d. Supply of wheat will decrease (shift left). e . The equilibrium price of wheat will increase. f. The equilibrium price of wheat will decrease. g. The equilibrium quantity of wheat will increase. h. The equilibrium quantity of wheat will decrease. 3. (3) Consumers' preferences change towards buying more gluten-free products, so they reduce the amount of products they buy that contain wheat (which contains gluten). Highlight all that apply. a. Demand for wheat will increase (shift right). b. Demand for wheat will decrease (shift left). c. Supply of wheat will increase (shift right). d. Supply of wheat will decrease (shift left). e. The equilibrium price of wheat will increase. f. The equilibrium price of wheat will decrease. g. The equilibrium quantity of wheat will increase. h. The equilibrium quantity of wheat will decrease. S P 34. (3) Com prices increase. (Note: most farmers grow both com and wheat on their farms. Consumers do not consider wheat and corn to be substitutes or complements.) Highlight all that apply. a. Demand for wheat will increase (shift right). b. Demand for wheat will decrease (shift left). Supply of wheat will increase (shift right) d. Supply of wheat will decrease (shift left). e. The equilibrium price of wheat will increase. f. The equilibrium price of wheat will decrease. . The equilibrium quantity of wheat will increase. h. The equilibrium quantity of wheat will decrease. . (3) The price of sandwich meat decreases. (Most sandwiches are made of bread and meat; bread is made from wheat flour.) Highlight all that apply. a. Demand for wheat will increase (shift right). . Demand for wheat will decrease (shift left). Supply of wheat will increase (shift right). d. Supply of wheat will decrease (shift left) e. The equilibrium price of wheat will increase. f. The equilibrium price of wheat will decrease. g. The equilibrium quantity of wheat will increase. h. The equilibrium quantity of wheat will decrease. Use Figure 2 to answer questions 6-10 below. Identify whether or not the demand and supply curves shift, and determine what happens to equilibrium price and quantity as a result. Begin each problem at point A 6. (3) New, inexpensive technology allows all Uber Figure 2. U.S. Market for Uber Rides vehicles to become driverless, replacing existing drivers without compromising service. Highlight all P ($ per mile) that apply. a. Demand for Uber rides will increase (shift right). b. Demand for Uber rides will decrease (shift left). c. Supply of Uber rides will increase (shift right). $1.50 d. Supply of Uber rides will decrease (shift left). e. The equilibrium price of Uber rides will increase. f. The equilibrium price of Uber rides will decrease. g. The equilibrium quantity of Uber rides will Q1 Q (millions of increase. miles per year) h. The equilibrium quantity of Uber rides will decrease. 7. (3) The price of Lyft, another type of taxi/ride-sharing service, increases significantly. Highlight all that apply. a. Demand for Uber rides will increase ,(shift right).T 3 /6 50% b. Demand for Uber rides will decrease (shift left) c. Supply of Uber rides will increase (shift right). d. Supply of Uber rides will decrease (shift left) e. The equilibrium price of Uber rides will increase. The equilibrium price of Uber rides will decrease. g. The equilibrium quantity of Uber rides will increase. h. The equilibrium quantity of Uber rides will decrease. 8. (3) An Uber self-driving vehicle has a major accident in which several people die due to a software glitch. Consumers start to prefer rides with non-Uber companies. Highlight all that apply. a. Demand for Uber rides will increase (shift right). b. Demand for Uber rides will decrease (shift left) C. Supply of Uber rides will increase (shift right) d. Supply of Uber rides will decrease (shift left). The equilibrium price of Uber rides will increase. The equilibrium price of Uber rides will decrease. The equilibrium quantity of Uber rides will increase. h. The equilibrium quantity of Uber rides will decrease. 9. (3) The price of train rides into cities decreases due to an increase in federal funding. (Most people take an Uber to their ultimate destination after riding the train into a city.) Highlight all that apply. a. Demand for Uber rides will increase (shift right). b. Demand for Uber rides will decrease (shift left). C. Supply of Uber rides will increase (shift right). d. Supply of Uber rides will decrease (shift left). The equilibrium price of Uber rides will increase. f. The equilibrium price of Uber rides will decrease. g. The equilibrium quantity of Uber rides will increase. h. The equilibrium quantity of Uber rides will decrease. 10. (3) Uber starts making more money from Uber Eats, its food delivery service, than it does from Uber Rides, its passenger service. Highlight all that apply. a. Demand for Uber rides will increase (shift right) b. Demand for Uber rides will decrease (shift left). Supply of Uber rides will increase (shift right). 1. Supply of Uber rides will decrease (shift left). e. The equilibrium price of Uber rides will increase. The equilibrium price of Uber rides will decrease. The equilibrium quantity of Uber rides will increase. h. The equilibrium quantity of Uber rides will decrease. 11. (10) Algebraically solve for the equilibrium price and quantity in the market for widgets give the demand and supply curve below (show all work for full credit and box your final answer)Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started