Question
Draw the supply-and-demand diagrams for market X in each of the following scenarios (separate graph for each scenario.) Then use your diagrams to illustrate the
Draw the supply-and-demand diagramsfor marketXin each of the following scenarios (separate graph for each scenario.) Then use your diagrams to illustrate the impact of the following events, ceteris paribus.
In each case, determine what happens to price and quantity in the market forX.Draw separate diagram for each scenario. (You must properly label ALL initial & subsequent:axes, curves, prices, quantities,movements along curve(s) and equilibriums.)
a) X and Y are complements, and the price of good Y increases.
b) X and Y are a typically used in place of one another, and there is a shift in tastes away from another good Z and toward Y.
c) X is an inferior good, and incomes in the community increases.
d) There is a technological advance in the production of good X.
e) Y is an input used to produce good X, and dire international political events disrupt availability of Y.
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