1. "The fare war among the major airlines in the summer of 1999 increased the demand for air travel." Does this statement correctly use economics terminology?
2. "The economic expansion of the 1990's caused the demand for air travel to rise." Does this statement correctly use economics terminology?
3. Can quantity supplied change without a shift in the supply curve. Explain.
4. Which way does supply shift when the cost of a factor of production goes up? Why?
5. Which way does supply shift when there is an improvement in the technology used to produce that item? Why?