Question is attached below,open in ms word.

Assignment No: 3 Student Name: ___________________________________________________ Student ID: ______________________ Q. 1) Refer to the information provided in Figure 3.1 below to answer the questions that follow. Figure 3.1 1 Refer to Figure 3.1. Which of the following would be most likely to cause the demand for Dr. Pepper to shift from D0 to D1? A) an increase in the price of 7-UP, assuming 7-UP is a substitute for Dr. Pepper B) a decrease in the price of Dr. Pepper C) a decrease in income, assuming that Dr. Pepper is a normal good D) a reduction in the price of sugar used to make Dr. Pepper Q. 2) Refer to the information provided in Figure 3.2 below to answer the questions that follow. Figure 3.2 Refer to Figure 3.2. Which of the following would be most likely to cause the demand for macaroni and cheese to shift from D1 to D0? A) an increase in income, assuming macaroni and cheese is a normal good B) an increase in the quantity demanded for macaroni and cheese C) an increase in the price of macaroni and cheese D) an increase in the price of flour used to make macaroni and cheese Q. 3) Refer to the information provided in Figure 3.3 below to answer the questions that follow. Figure 3.3 Refer to Figure 3.3. As your income increased, the demand for X shifted from D1 to D2. Good X is A) an income-neutral good. B) a normal good. C) a luxury good. D) an inferior good. Q. 4) Refer to the information provided in Figure 3.4 below to answer the questions that follow. Figure 3.4 Refer to Figure 3.4. If consumer income falls, the demand for tuna fish sandwiches shifts from D0 to D1. This implies that tuna fish sandwiches are a(n) A) inferior good. B) substitute good. C) normal good. D) complementary good. Q. 5) Refer to the information provided in Figure 3.5 below to answer the questions that follow. Figure 3.5 Refer to Figure 3.5. If consumer income increases, the demand for chili peppers shifts from D0 to D1. This implies that chili peppers are a(n) A) substitute good. B) normal good. C) complementary good. D) inferior good. Q. 6) There are substitutes for the Kindle. Sony (Reader), Barnes & Noble (Nook), and others make e-book readers. Presumably these companies are also negotiating with textbook publishers. Each e-book reader uses its own format. When you buy an e-book for your Kindle, don't expect to be able to read it on a Nook. Thus the ebooks and the specific e-book reader are perfect complements. But the serious competition is likely to come from an unexpected direction: tablet computers. Apple's iPad has been a major success. The iPad includes iBooks, Apple's version of an e-book reader. Question: There is obviously competition in this market. What effect is increased competition likely to have on the price of books offered as e-books? What effect will that have on the price of paper books