Question

Q13: Using a short, written paragraph that includes relevant economic terminology, explain why AND how the market is affected by the event(s). Be clear and as detailed as possible.

Illustrate each market before and after the event(s) using a single, properly-labelled demand and supply graph. Only one graph is necessary for part d).

Summarize the impacts of the event(s) on the market by completing the table at the end of the question. In each cell of the table, insert one of the following: none, increase, decrease, or unknown.

a) Market: Used clothing

Event: A recession occurs

b) Market: Beer in Colorado, Oregon and Washington

Event: Marijuana is legalized in Colorado, Oregon and Washington

c) Market: Ethanol

Event: The price of sugar declines

d) Market: Blueberries

Events: The price of sawdust increases AND

blueberries are recognized as a superfood

Part	Change in Demand	Change in Quantity Demanded	Change in Supply	Change in Quantity Supplied	Change in Equilibrium Price	Change in Equilibrium Quantity
a)
b)
c)
d)

Answer 1