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In: Economics

1. The following is the assumed demand schedule for an ice cream consumer in Bronx, New...

1. The following is the assumed demand schedule for an ice cream consumer in Bronx, New York: Demand Schedule Price Quantity Demanded per Year (thousands of cones) $2.25 12 $2.00 16 $1.75 20 $1.50 24 $1.25 28 $1.00 32

(A). Using the information above, draw a graph showing the consumer’s demand curve for Ice cream.( B). Explain the differences between a change in quantity demanded of ice cream and a Change in the demand of ice cream. C. Would a change in the price of ice cream cause a change in the demand for Ice cream? Explain why or why not?

2 (A) what are the supply schedule and the supply curve and how are they related? In our last Class, we explained two reasons why the supply curve slopes positively. State And explain a third reason.

B. Does a change in producers’ technology lead to a movement along the supply curve or to A shift in the supply curve? Does a change in price lead to a movement or to a shift in the Supply curve?

C. Define the equilibrium of a market. Describe the forces that move a market toward its Equilibrium.

Solutions

Expert Solution


Rahul Sunny answered 2 years ago
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