Simulations Assignment

Explain the impact of the economy with a demand, supply and equilibrium graph for each of these 2 simulations. Be sure to include:

• what happens to price, GDP, demand, Supply
  • Will there be a surplus or shortage
• Specify where the equilibrium is
• Whether there is an expansionary or contractionary shift in any of the curves and the effect of this
• Does it cause inflation, deflation or, nothing
• What happens to employment and the labor forces
• Is there a gap in the economy - what type

1. "Unrest in Chile over transport rate hikes. Transport strikes and Metro stations burned. Impact on Chilean Goods Market.
2. "Ivory Coast disruption in international trade. Significant external trade deficit emerges." Impact on Ivorian Goods Market.