Answer to Question #261315 in Microeconomics for Ahmed

Question

Remaining Question of Mini Case study salmon (trout) fishing

Good weather shifts in supply

Price per pound | Quantity supplied in 1999 | Quantity supplied in 2000 | Q.Demanded

$2.00 80 400 840 

$2.25 120 480 680

$2.50 160 550 550

$2.75 200 600 450

$3.00 230 640 350

$3.25 250 670 250

$3.50 270 700 200

A). Draw a demand and supply model representing the situation before the economic event took place.

B). Decide whether the economic event being analyzed affects demand or supply.

C). Decide whether the effect on demand or supply causes the curve to shift to the right or to the left, and sketch the new demand or supply curve on the diagram.

D). Identify the new equilibrium and then compare the original equilibrium price and quantity to the new equilibrium price and quantity.

E). What does those numbers mean exactly?

Answer 1

a.

b.the economy affect supply.

c. The supply curve shifts right.

d. Price decrease, quantity increase as the equilibrium shifts.

E. These numbers mean the market is working well.