Question

In: Economics

Consider the market for bottled water. If the nearby water source is contaminated by a flooding,...

Consider the market for bottled water. If the nearby water source is contaminated by a flooding, we can expect the following change in the bottled water market.

A decrease in demand

An increase in demand

An increase in supply

A decrease in supply

Solutions

Expert Solution

An increase in demand

Explanation :

Because of contaminated of water, now people have less pure water thus they will demand more water and thus demand for bottled water will increase.

Rahul Sunny answered 2 years ago
Next > < Previous

Related Solutions

Taking into account the market of bottled water and the brands that are circulating in the...
Taking into account the market of bottled water and the brands that are circulating in the Greek market, you are invited to identify and describe the factors that shape the consumer behavior of consumers for the different varieties of bottled water.
Suppose the market for bottled water is competitive and is characterized by the following demand and...
Suppose the market for bottled water is competitive and is characterized by the following demand and supply conditions. The inverse demand and supply curves are depicted below. Demand: QD = 400 – 100 P Supply:    QS = 280 + 20 P (for P > 0) Price: Quantity: Consumer surplus: Producer surplus: Suppose in anticipation of an approaching hurricane, demand rises to QD = 800 – 100 P. What will happen in the market, including welfare effects, as measured by consumer...
A method for remediating ground water contaminated with perchloroethylene is to allow contaminated water to pass...
A method for remediating ground water contaminated with perchloroethylene is to allow contaminated water to pass through a permeable region containing iron metal and having the perc reduced to ethylene and the iron changed to ferric hydroxide. Write the full balanced redox reaction for the degradation of perchloroethylene to ethylene by iron metal being oxidized to ferric hydroxide.
Assume that the market for bottled polar iceberg water is perfectly competitive, with market inverse demand...
Assume that the market for bottled polar iceberg water is perfectly competitive, with market inverse demand given by ? ?(?) = 50 − 0.005?, price measured in dollars per bottle, and ? measured in hundreds of bottles. The short-run marginal cost curve for a typical bottled polar iceberg water producing firm is ??? (?) = 5 + 0.025?? , with ??? in dollars per bottle and ?? in hundreds of bottles. 1.a. If there are 50 identical firms, determine the...
Assume that the market for bottled polar iceberg water is perfectly competitive, with market inverse demand...
Assume that the market for bottled polar iceberg water is perfectly competitive, with market inverse demand given by ? ?(?) = 50 − 0.005?, price measured in dollars per bottle, and ? measured in hundreds of bottles. The short-run marginal cost curve for a typical bottled polar iceberg water producing firm is ??? (?) = 5 + 0.025?? , with ??? in dollars per bottle and ?? in hundreds of bottles. 1.a. If there are 50 identical firms, determine the...
Microplastics have been found in both tap water and bottled water. Bottled water results A study...
Microplastics have been found in both tap water and bottled water. Bottled water results A study analyzed 259 bottles and found an average of 320 plastic particles for every liter of water being sold. The associated standard deviation was 327. (Yes, the standard deviation is larger than the mean.) Tap water results In a similar study, 30 tap water samples were analyzed. The average number of plastic particles found in each liter in the United States was 8.8 with a...
Halla Corporation produces and sells bottled water. The bottled water produced by the company is sold...
Halla Corporation produces and sells bottled water. The bottled water produced by the company is sold for 500 won per bottle, and the variable cost of producing and selling a bottle of bottled water is 300 won. Meanwhile, the fixed cost incurred in facility investment for the production and sale of the bottled water is 10 million won. Halla Corp. uses 40 million won in debt with an interest rate of 10 percent. Answer the following question. 1. Halla Corporation's...
Is the bottled water you are drinking really purified water? In a four-year study of bottled...
Is the bottled water you are drinking really purified water? In a four-year study of bottled water brands conducted by the Natural Resources Defense Council found that 25% of bottled water is just tap water packed in a bottle. Consider a sample of five brands of bottled water and let X equal the number of these brands that use tap water. a. Explain why X is (approximately) a binomial random variable. b. Find that the P (X = 2) c....
1) Initially, there are thousands of identical bottled water distributers. Assume the bottled water industry is...
1) Initially, there are thousands of identical bottled water distributers. Assume the bottled water industry is a constant cost industry characterized by perfect competition. a. Use both firm-level and market-level diagrams to show the initial long-run equilibrium price and quantity in the market (P and Q) as well q, MC, ATC and MR and P for the typical firm. Label any profits or losses, if any. b. Now suppose that all firms adopt a new technology that reduces the cost...
Is the bottled water you are drinking really purified water? In a four-year study of bottled...
Is the bottled water you are drinking really purified water? In a four-year study of bottled water brands conducted by the Natural Resources Defense Council found that 25% of bottled water is just tap water packed in a bottle. Consider a sample of five brands of bottled water and let X equal the number of these brands that use tap water. 1. Explain why X is (approximately) a binomial random variable. 2. Find that the P (x = 2) 3....
ADVERTISEMENT
Subjects
ADVERTISEMENT
Latest Questions
ADVERTISEMENT