Please read the instructions carefully and complete the following two problems. Your solutions should be ha nd-written and neatly presented. You are expected to submit a PDF scan of your handwritten work. Please ensure all your workings are clear and legible. Problem 1: Shift in 3 Demand Curve for an Inferior Good Consider the market for used cars, which are considered an inferior good. Suppose that the average income in the economy increases. Show how this change affects the demand curve for used cars. 1. Draw and label the initial demand curve for used cars. Label this initial demand curye as D1. 2. Then. show how an increase in income would affect the demand for an inferior good. Draw this new demand curve and label it as D2. 3. Describe and explain the changes you have made to the graph. Remember to clearly label your axes and curves. Problem 2: Calculating Producer Surplus Consider the market for handmade wooden tables. which is perfectly competitive. Suppose the supply curve for these tables is given by the equation 05 = 50 + 2P where Qs is the quantity supplied and P is the price. Currently. the market price is $100 pertable. 1. Calculate the producer surplus at the current market price. 2. Draw a graph showing the supply curve. the market price. and the area representing the producer surplus. Explain your calculations and the representation in the graph in detail