Research Week a couple of
3. What effect can each of the next have around the demand for small automobiles including the Mini Cooper and Smart car? a. Small vehicles become more fashionable
This will raise the demand in small autos
b. The price of large vehicles rises (with the price of small autos staying the same) The demand will increase
c. Income declines and small cars are an poor good.
The need will increase
g. Consumers foresee that the selling price of small autos will greatly reduced in the near future. The need will reduce
e. The buying price of gasoline substantially drops
This kind of statement is definitely unclear. Weight loss really tell if the demand for small automobiles will increase or decrease even though the gas prices drop substantially.
6. What result will each of the following have got on the supply of auto wheels?
a. A technological progress in the techniques of producing auto tires. Supply will increase
b. A decline in the number of businesses in the tire industry.
Source will decrease
c. An increase in the price of plastic used in the availability of four tires. Supply can decrease
d. The expectation that the balance price of auto wheels will be reduced the future than currently. Supply will increase
electronic. A decline in the selling price of large tires used for semi-trucks and globe hauling rigs (with zero change in the buying price of auto tires). Supply increases
f. The levying of your per-unit tax in each auto tire sold.
Supply will increase
g. The granting of a 50-cent-per-unit subsidy for each auto tire produced. Supply will increase
9. How will all the following within demand and supply affect equilibrium selling price and balance quantity in a competitive industry; that is, carry out price and quantity climb, fall or perhaps remain the same, or are the answers indeterminate because that they depend on the magnitudes in the shifts? Employ supply and demand blueprints to validate your answers.
a. Supply decreases and demand can be constant
Cost goes up...
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