Figure 3-3, a shift from A to B seems most consistent with which of the following scenarios? A. Society has decided to give guns lower priority. B. Technological advances have been greater for guns than for butter. C. The society has experienced a massive immigration of labor. D. There are unemployed resources in the production of both guns and butter.

Which of the following choices could cause the movement shown in the graph? $120 $90 $60 $30 $2 S1 100 200 300 400 500 Quantity of product M Supplied A. Product becomes more popular B. Tax increase C. Number of buyers increases D. Inputs become cheaper Price per Unit of Product M

Plastic and steel are substitutes in the production of body panels for certain automobiles. If the price of plastic increases, with other things remaining the same, we would expect: Question 3 options: Nothing to happen to steel because it is only a substitute for plastic. The demand for plastic to increase. The demand for steel to increase. The price of steel to fall.

You will draw a Supply and Demand diagram, and then do some additional things. Please follow the directions carefully. To begin, you will make some decisions, by answering for yourself these questions: What is the product (good) or service? What is the time period over which we are measuring, e.g., units sold per day, week, or month (don't go beyond month)? What is the geographic area we are looking at? Common choices might be: the city of …, the county of…, the state of…, the U.S. , the world. What is the range of possible prices you want to include? This could be from zero to some higher number. What is the range of possible quantities you want to cover? This will be a function of the product, the population, and the time period. These parameters can be made up, but should bear some connection to reality. EXAMPLE My product is plain white athletic socks, one pair. My time frame is one week - so the number of pairs sold in a week. My geographic area is the whole U.S., - so the…