Answer to Question #261314 in Microeconomics for Ahmed

Question

Mini Case Study

salmon (trout) fishing

Good weather shifts in supply

In the summer of 2000, weather conditions were excellent for commercial salmon fishing off the California coast. Heavy rains meant higher than normal levels of water in the rivers, which helped the salmon to breed. Slightly cooler ocean temperatures stimulated the growth of plankton—the microscopic organisms at the bottom of the ocean food chain—providing everything in the ocean with a hearty food supply. The ocean stayed calm during fishing season, so commercial fishing operations did not lose many days to bad weather. How did these climate conditions affect the quantity and price of salmon?

Dear Sir/Ma'am remaining part of this Case Study in next question

Answer 1

The conditions elaborated in this context are all favorable conditions. Good weather facilitated excellent fishing of salmon and heavy rains raised the level of water enabling more salmon to breed, there was alot of a hearty food supply for the plankton.

All these results in an increase in the quantity of salmon and this implies that the supply of salmon is increased.

Due to increase in supply, the price of salmon will be low.