The third step of the four step process is to
a. identify the new equilibrium and then compare the original equilibrium price and quantity to the new equilibrium price and quantity.
b. decide whether the economic change being analyzed affects demand or supply.
c. draw a demand and supply model before the economic change took place.
d. 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. 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.
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Answer the following statement(s) true (T) or false (F)
1. Funding for publicly owned treatment works (POTWs) was originally in the form of loans and later moved to a federal grant program. 2. The Clean Water State Revolving Fund (CWSRF) program replaced the federal grant program and established state loans to support POTW construction and other projects. 3. Funding through the Clean Water State Revolving Fund (CWSRF) program was supplemented by funds allocated through the American Recovery and Reinvestment Act of 2009. 4. Ultimately, federal subsidies of POTW construction accomplished little in terms of improving waste treatment for the U.S. population. 5. Empirical research indicates that federal grants added dollar-for-dollar to POTW construction that would not otherwise have been completed at the local level.
If countries 1 and 2 produce only two goods, A and B, and they have the same opportunity cost for the production of good A (and thus good B), then
A) each country will specialize in the production of one good and engage in trade. B) neither country will specialize in the production of a good, but both will engage in trade. C) one country will specialize in the production of a good, and both will engage in trade. D) neither country will specialize in the production of a good, and there will be no incentive for trade.
A change in the interest rate changes the demand for loanable funds.
Answer the following statement true (T) or false (F)
If a price ceiling is imposed, then:
A. the market supply curve will shift to the right. B. the market demand will shift to the left. C. a shortage of product will result. D. the market equilibrium price is below the level the government wishes to achieve.