1. Event: The Economist publishes an article stating that the price of automobiles will skyrocket in the coming months.

   Question: What is the determinant of Supply?

   	a.	None
   	b.	Price of goods made with same resources
   	c.	Technology
   	d.	Price of inputs
   	e.	Expectation of future price changes
   	f.	Number of sellers

3 points   

QUESTION 32

2. Market: Automobiles

   Event: The Economist publishes an article stating that the price of automobiles will skyrocket in the coming months.

   Question: What is the determinant of demand?

   	a.	None
   	b.	Consumer preferences
   	c.	Price of related goods
   	d.	Income of consumers
   	e.	Expectation of future price changes
   	f.	Number of buyers in the market

3 points   

QUESTION 33

2. Market: Automobiles

   Event: The Economist publishes an article stating that the price of automobiles will skyrocket in the coming months.

   Question: What is the change in supply?

   	a.	Increase
   	b.	Decrease
   	c.	No change
   	d.	Indeterminate

3 points   

QUESTION 34

2. Market: Automobiles

   Event: The Economist publishes an article stating that the price of automobiles will skyrocket in the coming months.

   Question: What is the change in demand?

   	a.	Increase
   	b.	Decrease
   	c.	No change
   	d.	Indeterminate

3 points   

QUESTION 35

2. Market: Automobiles

   Event: The Economist publishes an article stating that the price of automobiles will skyrocket in the coming months.

   Question: What will the change in equilibrium price be?

   	a.	Increase
   	b.	Decrease
   	c.	No change
   	d.	Indeterminate

3 points   

QUESTION 36

2. Market: Automobiles

   Event: The Economist publishes an article stating that the price of automobiles will skyrocket in the coming months.

   Question: What will the change in equilibrium quantity be?

   	a.	Increase
   	b.	Decrease
   	c.	No change
   	d.	Indeterminate

Answer rating: 100% (QA)

The detailed answer for the above question is provided below For the given market scenario involving ... View the full answer