QUESTION 6 Many changes are affecting the market for oil. Predict how each of the following events will affect the equilibrium price and quantity in the market for oil. In each case, state how the event will affect the supply and demand diagram. Create a sketch of the diagram if necessary. Word bank (use the number that corresponds to the correct word or phrase to fill in the blank: 1. Increase 2. Decrease 3. Demand 4. Supply 5. Right 6. Left 1. The winter is exceptionally cold. The curve shifts and equilibrium price and equilibrium quantity 2. A major discovery of new oil is made off the coast of Norway. The curve for oil shifts and equilibrium price and equilibrium quantity 3. The economies of some major oil-using nations, like Japan, slow down. The curve for oil shifts and equilibrium price and equilibrium quantity 4. The price of solar energy falls dramatically. The curve for oil shifts and equilibrium price and equilibrium quantity QUESTION 7