Things that shift in the supply curve:

A change in the cost of production

An advancement in technology/productivity

A change in the number of suppliers

A change in taxes/subsidies

A change in future price expectations

A random event, such as a weather event, that impacts production

Things that shift the demand curve:

A change in demander income

A change in the price of a related good or service

A change in tastes and preferences or quality

A change in future price expectations

A change in population/number of demanders

In each problem, you must explain the scenario's effect on the market. If the quantity supplied or the quantity demanded changes, state how (increase or decrease). If instead, the scenario meets one of the criteria above, indicating there is a shift. If one of the curves shifts, state why and the direction it shifts (left or right). You should then state the effect on price (increase or decrease).

Example problem:

The first lady declares war on sweets in America. You make doughnuts.

The first lady's opinion is valued and will cause a change in tastes and preferences. People will like doughnuts less. This preference change will shift the demand curve to the left. This decreases the quantity demanded and decreases the price.

The price of gasoline goes up. You own a gas station. (Hint: answer this from the supplier's perspective)

The price of corn goes up. You have planted soybeans. (Assume they are substitutes)