Suppose you are a stock market analyst at Goldman Sachs, specializing in the stocks of theme parks, and you are examining Disneyland's stocks. The Wall Street Journal reports that tourism has slowed down in the United States. You also find out that at Six Flags Magic Mountain in Valencia, California, a new Viper roller coaster is now opening and another new ride, Skyrush, will be opening this year.

a. Use the demand and supply model, to graphically analyze and predict the impact of these events on the attendance at Disneyland. What are the likely effects on ticket prices and attendance at Disneyland?

b. In the same article in Wall Street Journal, you read that Disneyland has slashed ticket prices and admitted attendance was somewhat lower. Is this consistent with your demand and supply analysis in part a?