I. In the following situations evaluate what happens to supply or demand for new homes in Bowling Green and how this affects the equilibrium price and quantity exchanged. First analyze which curve(s) are affected and in which direction it shifts. Then state what happens to the price and quantity of new homes. Hint: you may find it helpful to graph the shifts in order to determine how price and quantity are affected. Curve price quantity (S or D) (JGT, no change) (LT, no change! 1. Shipping costs for new home suppliers fall due to lower gas prices 2. The population decreases 3. Apartment rents rise 4. Incomes fall due to a slowing economy and new homes are a normal good 5. GM builds a new plant in Bowling Green so lots of new families move into town. 6. There is a shortage of brick