these r 2 questions

a) A change in consumer's expectations causes a movement along the demand curve or a shift in the demand curve? Explain. A change in price of the goods results in a movement along the demand curve or a shift in the demand curve? Explain (2.5 Marks) (Word count: 250 words max.) b} A demand schedule for a normal good is as follows: Price Quantity demanded R5230 70 210 90 190 110 170 130 i. Do you think that the increase in quantity demanded (say, from 90 to 110 in the table} when price decreases (from R3210 toRs.190) is due to a rise in consumers' income? Explain clearly (and briey) why or why not. (1 Mark) ii. Now suppose that the good is an inferior good. Would the demand schedule still be valid for an inferior good? (0.5 Marks) Maxim-1m Marks: 06 a) What can he said about the price elasticity of demand in each of the following statements? i. mThe Tikka delivery business in this town is very competitive. I'd lose half my customers if I raised the price by as little as 10%.\"(1 Mark) ii. \"My economics professor has chosen to use the Mankiw textbook for this class. I have no choice but to buy this book.\" (1 Mark) iii. \"1 always spend a total of exactly 125.1000 per week on coffee.\" (1 Mark) b) A news website reported (Feb. 17, 2020) that ridership of Karachi Metro Bus declined after a fare increase: \"There were nearly four million fewer riders in December 2019. the rst full month after the price of a token increased Rs. 25 to Rs.150, than in the previous December, a 4.3 percent decline.\" 1. Use these data to estimate the price elasticity of demand for Karachi Metro Bus. (2 Marks) ii. According to your estimate, what happens to the Karachi Metro Bus's revenue when the fare rises? (0.5 Marks) iii. Why might your estimate of the elasticity be unreliable? (0.5 Marks Maximum Marks: 04 Income elasticity of demand measures the responsiveness of demand to changes in income. Explain what is happening to demand and what kind of good is being represented in the following situations. a) Income is rising, and income elasticity of demandis positive. (1 Mark) b) Income is rising, and income elasticity of demand is negative. (1 Mark) c) Income is falling, and income elasticity of demand is positive. (1 Mark) d} Income is falling, and income elasticity of demand is negative. (1 Mark)