In Melbourne in the 1930s, the price of a movie ticket and admission to a game of Australian Rules Football was 5 cents - roughly equivalent to the price of a loaf of white bread. Today, standard admission prices to the movies and the football is around $20, roughly equivalent to the price of 10 loaves of white bread.

Hint: Drawing one or more diagrams will help you to explain your answer.

(a)Suggest reasons why the price of going to the movies and watching football is relatively higher than it was in the 1930s. (12 marks)

(b)Would you expect the demand for going to the movies and watching football to be higher in the 1930s than it is today? (13 marks)