In a certain apple market, 70 ooo kilograms are offered for sale each week at a price

per kilogram of $2, 150 ooo at $3, and 230 ooo at $4.

a. Is the law of supply satisfied as the price of apples rises? Why or why not?

b. Outline what happens if the amount of apples offered for sale each week increas

es by so ooo kilograms at each possible price.

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c. What are three points on the new market supply curve after the increase in the

amount of apples offered for sale?

d. Draw a graph showing the market supply curves S0 and S1

Plot three points to

draw each curve.