Arrows up or down: In the 1990s, the world price of wool __________ and the quantity of
Question:
Arrows up or down: In the 1990s, the world price of wool __________ and the quantity of wool supplied __________ (Related to Application 2)
Transcribed Image Text:
Application 2 LAW OF SUPPLY AND WOOLYMPICS APPLYING THE CONCEPTS #2: What is the law of supply? In the 1990s, the world price of wool decreased by about 30 per- cent, and prices have remained relatively low since then. Based on the law of supply, we would expect the quantity of wool supplied from New Zealand and other exporters to decrease, and that's what happened. Land formerly used to grow grass for wool-producing sheep has been converted into other uses, including dairy products, forestry, and the domestication of deer. There have been several attempts to revive the wool indus- try by boosting the demand for wool and thus increasing its price. The United Nations General Assembly declared 2009 as the International Year of Natural Fibres, with the objective "to raise awareness and stimulate demand for natural fibres." In 2012, the Federated Farmers of New Zealand proposed that sheep shearing be added to the Commonwealth Games and Olympics as a demonstration sport. The favorites for Olympic titles are the current world record holders Ivan Scott (744 sheep in 24 hours) and Kerry-Jo Te Huia (507 sheep in 24 hours). Of course, it's not obvious that Olympic shearing would increase the demand for wool, and then there is the problem of what to do with all the sheared wool. Speed knitting? Related to Exercises 2.6 and 2.10. SOURCES: (1) "Wait Wait Don't Tell Me," National Public Radio, January 21, 2012. (2) United Nations, www.naturalfibres2009.org.
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 100% (1 review)
The passage describes the change in the world price of wool and the quantity of wool supplied in t...View the full answer
Answered By
Salmon ouma
I am a graduate of Maseno University, I graduated with a second class honors upper division in Business administration. I have assisted many students with their academic work during my years of tutoring. That has helped me build my experience as an academic writer. I am happy to tell you that many students have benefited from my work as a writer since my work is perfect, precise, and always submitted in due time. I am able to work under very minimal or no supervision at all and be able to beat deadlines.
I have high knowledge of essay writing skills. I am also well conversant with formatting styles such as Harvard, APA, MLA, and Chicago. All that combined with my knowledge in methods of data analysis such as regression analysis, hypothesis analysis, inductive approach, and deductive approach have enabled me to assist several college and university students across the world with their academic work such as essays, thesis writing, term paper, research project, and dissertation. I have managed to help students get their work done in good time due to my dedication to writing.
5.00+
4+ Reviews
16+ Question Solved
Related Book For
Microeconomics Principles Applications And Tools
ISBN: 9780134078878
9th Edition
Authors: Arthur O'Sullivan, Steven Sheffrin, Stephen Perez
Question Posted:
Students also viewed these Business questions
-
In the 1990s, the world price of wool decreased by about 30 percent, and prices have remained relatively low since then. Based on the law of supply, we would expect the quantity of wool supplied from...
-
Now suppose that the rate of inflation in the US is too high because the FED printed too much money The FED then decides to implement monetary policy to reduce the inflation rate. What can the FED do...
-
Discuss the concept of Corporate Social Responsibility (CSR) and its significance in modern business practices. Explore the fundamental principles and objectives of CSR, highlighting its impact on...
-
Once an LLC has engaged in a dissolution procedure, the business does not stop immediately. True/False
-
The Wall Street Journal routinely publishes summaries of corporate quarterly and annual earnings reports in a feature called the "Earnings Digest." A typical "digest" report takes the following form....
-
Determine the trigonometric functions of the angles (in standard position) whose terminal side passes through the given points. Give answers in exact form. (48, 48)
-
Explain, with reasons, whether or not each of the following is a disclosable related party transaction of Alpha Ltd under NZ IAS 24: Alpha Limited stores inventory in a warehouse that is leased from...
-
Lightfoot Inc., a software development firm, has stock outstanding as follows: 40,000 shares of cumulative preferred 1% stock, $125 par, and 100,000 shares of $150 par common. During its first four...
-
4. The atomic numbers of elements, U, V, W and X are 13, 14, 16 and 17 respectively. Which one of the elements will react with oxygen to form an ionic compound? (Atomic number of oxygen is 8) X A. B....
-
Every year around harvest time for the cocoa crop in West Africa, the harmattan, a dry dusty wind from the Sahara desert, sweeps through cocoa plantations in Ghana and Ivory Coast, drying the pods...
-
When several provinces in eastern Canada cut their cigarette taxes, the price of cigarettes decreased by roughly 50 percent, and the youth smoking rate increased by roughly __________ (1, 17, 50, 90)...
-
Excessive exposure to solar radiation is known to increase the risk of developing skin cancer, yet many people do not practice sun safety. A group of University of Arizona researchers examined the...
-
Why gender imbalances and pay gap continue to exist at the executive level even in the corporate world?
-
In a change effort, what are the likely sources of opposition (stewardship and psychological and internal and external political factors) and their nature?
-
What facets of self-leadership are more commonly exhibited, and how do these enable personal change and organizational change?
-
How to maintain sufficient communications throughout an organizations change implementation?
-
Why women remain largely underrepresented in leadership positions in the education field despite their positive contribution to organizations in a myriad of ways?
-
(10%)On the basis of the following data for Larson Co. for 2010 and the preceding year ended December 31, 2010, prepare a statement of cash flows. Use the indirect method of reporting cash flows from...
-
Complete the equations for the following equilibria and calculate Keq where the Keq expression includes [HO]. Be sure to enter Keq in proper scientific notation. (a) ammonia (acting as a base) reacts...
-
Describe the procedures involved in segregating various deferred tax amounts into current and noncurrent categories.
-
How is it determined whether deferred tax amounts are considered to be related to specific asset or liability amounts?
-
At the end of the year, Falabella Co. has pretax financial income of $550,000. Included in the $550,000 is $70,000 interest income on municipal bonds, $25,000 fine for dumping hazardous waste, and...
-
How do your workplace's policies and procedures align with requirements in your state/territory in relation to responding to children at risk?
-
The Joint Planning Group (JPG) is in the initial stages of planning an operation in Zerbonia. Local governmental cooperation is pivotal. While the primary objective is military, there is a need for...
-
Copy the dot plot shown, and group the data into four quartiles. Draw the box plot that corresponds to the dot plot below. " 1 2 3 4 5 6 7 8 9 10 "
Study smarter with the SolutionInn App