The market for Big Macs in Canada is initially in equilibrium with supply and demand curves...

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The market for Big Macs in Canada is initially in equilibrium with supply and demand curves of the usual shape. Whoppers are a close substitute for Big Macs; Fries and Big Macs are complements. Use demand and supply diagrams to analyse the effect of each of the following (separate) events on the equilibrium price and quantity in the Canadian Big Mac Market. Assume that nothing else changes. For both equilibrium price and quantity you should indicate in each case whether the variable rises, falls, remains the same, or moves ambiguously (may rise or fall). A) The income of consumers falls (Big Macs are a normal good). Big Macs B) Early frost destroys a large part of the world Potato crop. Potatos Fries C) A new Genetically modified variety reduces the cost of producing potatoes Potatos Fries D) A new frying technique is invented that reduces the cost of producing Big Macs. Big Macs Big Macs The market for Big Macs in Canada is initially in equilibrium with supply and demand curves of the usual shape. Whoppers are a close substitute for Big Macs; Fries and Big Macs are complements. Use demand and supply diagrams to analyse the effect of each of the following (separate) events on the equilibrium price and quantity in the Canadian Big Mac Market. Assume that nothing else changes. For both equilibrium price and quantity you should indicate in each case whether the variable rises, falls, remains the same, or moves ambiguously (may rise or fall). A) The income of consumers falls (Big Macs are a normal good). Big Macs B) Early frost destroys a large part of the world Potato crop. Potatos Fries C) A new Genetically modified variety reduces the cost of producing potatoes Potatos Fries D) A new frying technique is invented that reduces the cost of producing Big Macs. Big Macs Big Macs