Most movements in quantities, not prices, for markets with elastic demand and supply curves.

Question

Comment on another student's post by suggesting a demand or supply shifter different from the one(s) they suggested that would have the same impact on demand or supply. For example, if a student wrote their post about how demand for the good they are writing about would rise due to a change in one demand shifter, you would respond by explaining how the demand for that good would rise due to a change in a different demand shifter. "A carpet cleaning service has just opened and is increasingly becoming popular, many people have experienced their carpets becoming dirty as the spring season rolls in with heavy rain. Since there has been heavy rain the people in this town have been tracking mud all over their carpets ruining the color and staining it, many people have turn to this carpet cleaner to help remove stains and excess mud out of the carpet. This would cause the demand of the service to shift to the right, increasing the price and moving the equilibrium to the right. The price…

Answer 1

Question

Chapter 9, Problem 3RQ

To determine

To describe: Most movements in quantities, not prices, for markets with elastic demand and supply curves.

Expert Solution & Answer

Trending nowThis is a popular solution!

See solution

Check out sample textbook solution

Students have asked these similar questions

Comment on another student's post by suggesting a demand or supply shifter different from the one(s) they suggested that would have the same impact on demand or supply. For example, if a student wrote their post about how demand for the good they are writing about would rise due to a change in one demand shifter, you would respond by explaining how the demand for that good would rise due to a change in a different demand shifter. "A carpet cleaning service has just opened and is increasingly becoming popular, many people have experienced their carpets becoming dirty as the spring season rolls in with heavy rain. Since there has been heavy rain the people in this town have been tracking mud all over their carpets ruining the color and staining it, many people have turn to this carpet cleaner to help remove stains and excess mud out of the carpet. This would cause the demand of the service to shift to the right, increasing the price and moving the equilibrium to the right. The price…

7. Short-run and long-run effects of a shift in demand Suppose that the jackfruit industry is initially operating in long-run equilibrium at a price level of $5 per pound of jackfruit and quantity of 25 million pounds per year. Suppose a leading foodle video blogger raises awareness for a scholarly article that links jackfruit consumption to premature hair loss and unhealthy skin. The viral video is expected to cause consumers to demand jackfruit at every price. In the short run, firms will respond by Shift the demand curve, the supply curve, or both on the following graph to illustrate these short-run effects of the viral video, 10

When looking at Say's law, which of the following is true? The focus is on the short run. Every sale represents income. It is demand driven. Supply creates its own supply.