1 A Long December This winter is colder than normal, so people want more wool scarves...

Transcribed Image Text:

1 A Long December This winter is colder than normal, so people want more wool scarves than before...however, a disease caused many sheep to not grow hair (used to make wool) this year. Show what happens in the market for wool. In the left graph, show a big change in D and small change in S. In the right graph, show a small change in D and a big change in S. P Which change is ambiguous, price or quantity? P What happens to the other one? 1 A Long December This winter is colder than normal, so people want more wool scarves than before...however, a disease caused many sheep to not grow hair (used to make wool) this year. Show what happens in the market for wool. In the left graph, show a big change in D and small change in S. In the right graph, show a small change in D and a big change in S. P Which change is ambiguous, price or quantity? P What happens to the other one?

Answer rating: 100% (QA)

In the market for wool a combination of increased demand due to colder winter weather and a decrease ... View the full answer