1. Graph and then clearly state the change in equilibrium price and quantity in a commodity given:...
Question:
1. Graph and then clearly state the change in equilibrium price and quantity in a commodity given: a) an increase in income (assume normal good) b) an increase in income (assume inferior good)
c) an increase in the price of a complement in production d) a decrease in price of a substitute in production e) bad weather f) an increase in the price of a complement in consumption d) a decrease in price of a substitute in consumption
e) a decrease in costs of production f) a simultaneous increase in the price of a substitute in production AND an increase in the expectation of future prices1. Graph and then clearly state the change in equilibrium price and quantity in a commodity given: a) an increase in income (assume normal good) b) an increase in income (assume inferior good)
c) an increase in the price of a complement in production d) a decrease in price of a substitute in production e) bad weather f) an increase in the price of a complement in consumption d) a decrease in price of a substitute in consumption
e) a decrease in costs of production f) a simultaneous increase in the price of a substitute in production AND an increase in the expectation of future prices
Principles Of Econometrics
ISBN: 9781118452271
5th Edition
Authors: R Carter Hill, William E Griffiths, Guay C Lim