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Q1 [12 marks] Consider the market for food in a hypothetical Country A. (a) In the space provided below, draw a diagram of the market

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Q1 [12 marks] Consider the market for food in a hypothetical Country A. (a) In the space provided below, draw a diagram of the market for food. Then show (and explain) what would happen if there was a large inux of migrants attracted by a mining boom in that country. [3 marks] (b) Suppose the government of Country A is concerned about consumers not being able to afford this basic necessity, and therefore does not allow the price of food to rise. How will this affect the market for food? Show this in the diagram. [3 marks] (c) Evaluate the consequences of this government policy. [2 marks] (d) How might the government use an alternative type of government intervention to achieve the same outcome? [4 marks]

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