Complete the following table using words increase, decrease, no change, uncertai
ID: 1222436 • Letter: C
Question
Complete the following table using words increase, decrease, no change, uncertain
a) A recent study showed that anchovies are rich in both calcium and fats that improve an individual's cholesterol. Based on this, the likely outcome in the market for anchovies is
Supply
Demand
Equilibrium Price
Equilibrium quantity
b) Due to new regulations in California, a major producer of strawberries, farmers are no longer allowed to use a product that protects the strawberries from insects, generating concerns that much of the crop will be destroyed. Results of a survey conducted by the Department of Agriculture, however, indicate that this restriction will worsen the appearance of California strawberries and therefore impact consumer demand for California strawberries. Based on this, the likely outcome in the market for California strawberries is
Supply
Demand
Equilibrium Price
Equilibrium quantity
c) Recently, there has been a renewed interest in vinyl records or albums as an alternative to music CDs and music downloads. Based on this, what is the likely impact on the market for record turntables, the electronic equipment used to play vinyl records?
Supply
Demand
Equilibrium Price
Equilibrium quantity
Supply
Demand
Equilibrium Price
Equilibrium quantity
Explanation / Answer
a) As per the study anchovies are improve an individual's cholesterol. As a result of this demand will increase because it eill improve cholesterol, but supply will remain unchanged. As a result equilibrium price will increase and Equilibrium quantity will be increased.
b) Due to new regulations in California, a major producer of strawberries, farmers are no longer allowed to use a product that protects the strawberries from insects, generating concerns that much of the crop will be destroyed. As a result of this supply will decrease, demand will also decrease. As a result equilibrium price and quantity both decreases.
c) There will be no change in supply , demand will increase and both equilibrium price and quantity will increase.