Consider the market for minivans and for each identify which of the determinants
ID: 1240680 • Letter: C
Question
Consider the market for minivans and for each identify which of the determinants of demand or supply are affected. The draw diagram to show.a. Peope decide to have more children
b.A strike by steel workers rises steel prices.
c. The price of sport vehicles rises.
d. A stock market crash lowers people wealth
e. Engineers develop new automated machinery for the production of minivans
Explanation / Answer
people decide to have more children .Then the average family size and the population increases so the demand for minivans increases (as it is sufficient for big families ) A> this increases the demand for the minivans the strike of steel workers causes the declination in the steel production so the steel become rare as demand increases hence the price of steel increases. as the steel is heavily used in mini sports cars the sports car prices also increases a stock market crash means loss of value of the stock holders.as the price decreases the wealth of people decreased to meet the increased demand the engineers designed a new method for higher supply now u can understand the chain link easily cheers :)