14. A supply and demand puzzle The following graph shows the market for roses in 2010. Between 2010 and 2011, the equilibrium quantity of roses remained constant, but th equilibrium price of roses decreased. From this, you can conclude that between 2010 and 2011, the supply of roses an demand for roses Adjust the graph to illustrate your answer by showing the positions of the supply and demand curves in 2011. Note: Select and drag one or both of the curves to the desired position. Curves will snap into position, so if you try to move a curve and it sn to its original position, just drag it a little farther. Supply Demand Supply Demand QUANTITY (Roses) PRICE (Dollars per rose)

Consider the market for minivans. For each of the events listed here, identify which of the determinants of demand or supply are affected. Also indicate whether demand or supply increases or decreases. Then draw a diagram to show the effect on the price and quantity of minivans. a. People decide to have more children. b. A strike by steelworkers raises steel prices. c. Engineers develop new automated machinery for the production of minivans. d. The price of sports utility vehicles rises. e. A stock market crash lowers peoples wealth.

Consider the market for minivans. For each of the events listed here, identify which of the determinants of demand or supply are affected. Also indicate whether demand or supply increases or decreases. Then draw a diagram to show the effect on the price and quantity of minivans. a. People decide to have more children. b. A strike by steelworkers raises steel prices. c. Engineers develop new automated machinery for the production of minivans. d. The price of sports utility vehicles rises. e. A stock market crash lowers peoples wealth.

Many changes are affecting the market for oil. Predict how each of the following events will affect the equilibrium price and quantity in the market for oil. In each case, state how the event will affect the supply and demand diagram. Create a sketch of the diagram if necessary. Cars are becoming more fuel efficient, and therefore get more miles to the gallon. The winter is exceptionally cold. A major discovery of new oil is made off the coast of Norway. The economies of some major oil-using nations, like Japan, slow down. A war in the Middle East disrupts oil-pumping schedules. Landlords install additional insulation in buildings. The price of solar energy falls dramatically. Chemical companies invent a new, popular kind of plastic made from oil.

If a 10 decrease in the price of one product that you buy causes an 8 increase in quantity demanded of that product, will another 10 decrease in the price cause another 3 increase (no more and no less) in quantity demanded?

Consider the demand for hamburgers. If the price of a substitute good (for example, hot dogs) increases and the price of a complement good (for example, hamburger buns) increases, can you tell for sure what will happen to the demand for hamburger? Why or why not? Illustrate your answer with a graph.

As a general rule, is it safe to assume that a change in the price of a good will always have its most significant impact on the quantity demanded of that good, rather than on the quantity demanded of miller goods? Explain.

14. A supply and demand puzzle The following graph shows the market for cars in 2008. Between 2008 and 2009, the equilibrium quantity of cars remained constant, but the and the са equilibrium price of cars increased. From this, you can conclude that between 2008 and 2009, the supply of cars demand for cars Adjust the graph to illustrate your answer by showing the positions of the supply and demand curves in 2009. Note: Select and drag one or both of the curves to the desired position. Curves will snap into position, so if you try to move a curve and it snaps back to its original position, just drag it a little farther. (? S2009 S2003 Demand Supply D2008 D2009 QUANTITY (Cars) PRICE (Dollars percar)

14. A supply and demand puzzle The following graph presents the market for sweaters in 2014. Between 2014 and 2015, the equilibrium quantity of sweaters remained constant, but the equilibrium price of sweaters increased. Given this information, you can conclude that between 2014 and 2015, the supply of sweaters decreased and the demand for sweaters increased Make changes to the graph to illustrate your answer by showing the positions of the supply and demand curves in 2015. Note: Select and drag one or both of the curves to the desired position. Curves will snap into position, so if you try to move a curve and it snaps back to its original position, just drag it a little farther." PRICE (Dollars per sweater) QUANTITY (Sweaters) Supply Demand 0- Demand Supply

14. A supply and demand puzzle The following graph presents the market for sweaters in 2016. Between 2016 and 2017, the equilibrium price of sweaters remained constant, but the i equilibrium quantity of sweaters decreased. Given this information, you can conclude that between 2016 and 2017, the supply of sweaters and the demand for sweaters decreased increased was unchanged PRICE (Dollars per sweater) e graph to illustrate your answer by showing the positions of the supply and demand curves in 2017. rag one or both of the curves to the desired position. Curves will snap into position, so if you try to move a curve and it snaps back on, just drag it a little farther." QUANTITY (Sweaters) Supply Demand -O Demand 16 Supply