Professional Documents
Culture Documents
(B)
(C)
(D)
Part 2 Supply or Demand. Answer if the following would affect supply or demand?
(A) Supply
(B) Demand
13 Income
14 A company going out of business/ business situation is weak
15 Compliments and Substitute Prices
16 Natural disasters
17 taste and preferences
18 Price of related goods
19 Producing technology
20a Taxes
20b Subsidies
Part 4 True-False
(a) True
(b) False
41 The Red Wings win the Cup and become more popular.
MORE DEMAND so answer A
On the 2 problems below both curves are moving. So either you have to graph both and move the line
that is stronger farther.. or as a short cut, just think about the stronger line.
44 Supply is decreasing more than demand is decreasing.
What happens to that product?
((Supply decrease is stronger in the tug-of-war than the demand decrease))
Supply Decrease makes prices go up,
quantity go down
Demand Decrease
prices go down
quantity go down
Together