Use a demand and supply model to explain and illustrate how petrol price has been affected...

Use a demand and supply model to explain and illustrate how petrol price has been affected as a result of COVID19 pandemic and price war in the global oil market. You need to articulate the determinants that lead to the change.

Identify the determinant for each event and articulate the direct impact on demand/supply. (Which determinant has change and which direction is going to be the shift and the two events should eventually lead to the price change that is consistent with the article.
Explain equilibrium process. In other words, the shift if the price doesn’t change what would be the driving force for price change. if the price doesn’t change and remains as the pre-pandemic or pre- war in the global oil market situation. Are we gonna show surplus, shortage and then what would happen to the price.
One 1 graph

Expert Solution

Rahul Sunny answered 2 years ago

Use a demand and supply model to explain and draw a graph how petrol price has...

Use a demand and supply model to explain and draw a graph how petrol price has been affected as a result of COVID19 pandemic and price war in the global oil market. You need to articulate the determinants that lead to the change. •The market: Australian petrol market. •Events: “COVID19 pandemic and price war in the global oil market”. •Identify influences for each event, and articulate the direct impact on demand/supply. •Outcome shall be consistent with the article (price drop).

•Use a demand and supply model to explain and draw a graph how petrol price has...

•Use a demand and supply model to explain and draw a graph how petrol price has been affected as a result of COVID19 pandemic and price war in the global oil market. You need to articulate the determinants that lead to the change. •The market: Australian petrol market. •Events: “COVID19 pandemic and price war in the global oil market”. •Identify influences for each event, and articulate the direct impact on demand/supply. •Outcome shall be consistent with the article (price drop).

3. Use the supply and demand model to illustrate how each of the following affects the...

3. Use the supply and demand model to illustrate how each of the following affects the market for cocoa beans, ceteris paribus. a. A blight on cacao trees kills of much of the crop in Latin America. b. The price of carob increases. c. Workers organize into a union and get higher wages for farming Cocoa. d. Chocolate is clinically proven to prevent Alzheimer’s disease. e. The price cocoa beans are expected to drop in the near future.

Use the Aggregate Demand-Aggregate Supply Model to illustrate what happens to US output and the price...

Use the Aggregate Demand-Aggregate Supply Model to illustrate what happens to US output and the price level in both the short-run and the long-run for each of the following. Begin with a long-run equilibrium, and use a separate graph for each. a. There is a decrease in expected income in the future b. A major oil spill causes the price of oil to suddenly double c. There is an economic boom in Canada, which is a major trading partner of...

6. Use a supply and demand model to illustrate how one might argue that from the...

6. Use a supply and demand model to illustrate how one might argue that from the equilibrium price, there is no way to make some people better off without making other people worse off. In your model, be sure to clearly identify changes in consumer, producer, and total surplus that result from deviations from the equilibrium price. 7.Your text argues the following: “Markets are a remarkably effective way to organize economic activity: they generally make society as well off as...

‏1. Use the demand-supply fundamental model to illustrate the changes in the value of the Egyptian...

‏1. Use the demand-supply fundamental model to illustrate the changes in the value of the Egyptian pound (EGP) against the U.S. dollar (USD) in the past few years. In your answer, try as much as possible to distinguish between the demand-side factors and the supply-side factors as discussed in class. Finally, show how the intervention by the Central Bank of Egypt (CBE) at some point has led to the creation and deepening of the “Black Market”. Although drawing graphs is...

Use a supply and demand diagram for cars to illustrate the equilibrium price and quantity. Define...

Use a supply and demand diagram for cars to illustrate the equilibrium price and quantity. Define the equilibrium price and the equilibrium quantity. What happens if the price is above equilibrium? What happens when the price is below equilibrium? Relate the diagram to the law of demand. Relate the diagram to the law of supply. Be sure to refer to the diagram in your discussion.

Use supply and demand to graphically illustrate the equilibrium price and quantity of books. b....

Use supply and demand to graphically illustrate the equilibrium price and quantity of books. b. Assume: i. Tastes for reading books increase. ii. The cost of paper to book publishers increases. Illustrate and explain how these two assumptions will affect supply, demand, price and quantity. In your analysis, identify the overall change in price and quantity.

Explain how to use an economic aggregate supply and demand model to forecast a decline in:...

Explain how to use an economic aggregate supply and demand model to forecast a decline in: (a) economic growth; (b) inflation; and (c) the nominal market interest rate.

Use the aggregate demand–aggregate supply model to illustrate graphically the impact in the short run and...

Use the aggregate demand–aggregate supply model to illustrate graphically the impact in the short run and the long run of the following changes. Be sure to label: i. the axes; ii. the curves; iii. the initial equilibrium values; iv. the direction the curves shift; v. the short-run equilibrium values; and vi. the long-run equilibrium values. Also, state in words what happens to prices and output in the short run and the long run. ii) Climate change causes an increase in...

Question