d. decrease the supply of wheat.3. Knowing that the demand for wheat is inclastic, if all famers voluntarily did not plantwheat on 10 percent of their land, thena. consumers of wheat would buy more wheat.b. wheat farmers would suffer a reduction in their total revenue.V wheat farmers would experience an increase in their total revenue.d. the demand for wheat would decrease.4.. Good news for farming can be bad news for farmers because thea. supply curve for an individual famer is usually perfecetly elastic.b. supply curve for an individual farmer is usually perfectly inelastic.Vdemand for basic foodstuffs is usually inelastic, meaning that factors that shiftsupply to the right decrease total revenues to sellers.d. demand for basic foodstuffs is usually elastic, meaning that factors that shiftsupply to the right increase total revenues to sellers.5. The supply of oil is likely to bea.inelastic in both the short run and long run.b.elastic in both the short run and long run.elastic in the short run and inelastic in the long run.inelastic in the short run and elastic in the long run.6. OPEC suecessfully raised the world price of oil in the 1970s and early 1980s, primarilydue toan inelastic demand for oil and a reduction in the amount of oil supplied.a.a reduction in the amount of oil supplied and a world-wide oil embargo.C.a world-wide oil embargo and an elastic demand for oil.d.a reduction in the amount of oil supplied and an elastic demand for oil.7. Why was OPEC unable to maintain high oil prices in the long run?a. Demand and supply are both elastic in the long run compared to the short run.b. Demand and supply are both inelastic in the long run compared to the short run.V Demand is elastic and supply is inelastic in the long run compared to the short run.

Dear Student, as you have posted multiple questions in a single picture, but according to the…

3. Knowing that the demand for wheat is inelastic, if all famers voluntarily did not plant wheat on 10 percent of their land, then a. consumers of wheat would buy more wheat. b. wheat farmers would suffer a reduction in their total revenue. V wheat farmers would experience an increase in their total revenue. d. the demand for wheat would decrease.

3. Knowing that the demand for wheat is inelastic, if all famers voluntarily did not plant wheat on 10 percent of their land, then a. consumers of wheat would buy more wheat. b. wheat farmers would suffer a reduction in their total revenue. V wheat farmers would experience an increase in their total revenue. d. the demand for wheat would decrease.

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter4: The Market Forces Of Supply And Demand

Section: Chapter Questions

Problem 6QR

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4.. Good news for farming can be bad news for farmers because the a. supply curve for an individual farmer is usually perfectly elastic. b. supply curve for an individual farmer is usually perfectly inelastic. c. demand for basic foodstuffs is usually inelastic, meaning that factors that shift supply to the right decrease total revenues to sellers. d. demand for basic foodstuffs is usually elastic, meaning that factors that shift supply to the right increase total revenues to sellers.
Consumers expect that the price per kilograms of wheat will rise next week, as a result _____________________. a. demand for wheat will increase today b. the price per kilogram of wheat will fall today c. supply of wheat next week will increase d. the price per kilograms of wheat will increase today
2. Draw a supply and demand curve for the iPhone 11. Apple announces that the P iPhone 12 is coming out in 1 year, what happens to the supply or demand for iPhone 11s? Why?
12. When a producer moves down on the supply curve, it is called ______. a. Increase of supply b. Decrease of supply c. Extension of supply d. Contraction of supply
1. In a market system, prices are determined by Select one: a. supply and demand b. government bureaucrats c. corporate executives d. total market demand 2. The price elasticity of demand is 5.0 if a 10 percent increase in the price results in a ____ decrease in the quantity demanded. Select one: a. 50 percent b. 5 percent c. 10 percent d. 2 percent 3. A fall in the price of lemons from R10.50 to R9.50 per peck increases the quantity demanded from 19,200 to 20,800 pecks. The price elasticity of demand is____. Select one: a. 1.20. b. 8.00. c. 0.80. d. 1.25. 4. A shift of the supply curve of oil raises the price of oil from R9.50 a barrel to R10.50 a barrel and reduces the quantity demanded from 41 million to 39 million barrels a day. The price elasticity of demand for oil is Select one: a. 2.0. b. 0.5. c. R1 per 2 million barrels a day. d. 2 million barrels a day per rands. 5. The price elasticity of demand equals ____. Select one:…
4. Define income elasticity of demand. a. Give an example of a good that has a negative income elasticity and one that has a positive income elasticity and explain why. 5. What typically causes the price elasticity of supply to be high or low? 6. What is total revenue and how do you calculate it? a. When price drops and the quantity of demand increases, there are two reasons that revenue changes. Some goods are now produced that weren't previously produced and those goods that were produced before, are now being sold at a lower price. How do you know if revenue will go up or down?
5. Suppose that food shortages are expected in the near future. What happens to themarket for farmland today?(A) Demand rises.(B) Demand declines.(C) Supply rises.(D) Supply declines.
Demand, Supply, Market Equilibrium a.Demand: i. Please Thoroughly and completely define demand. ii. Please state the law of demand. iii. List and thoroughly explain the 3 factors that support the law of demand. Be sure you explain how each actually supports the law of demand. iv. List and explain the determinants of demand and how each can cause an increase in demand and a decrease in demand. List and explain each of the 5 determinants and how they impact demand. v. Thoroughly and completely explain the differences between a change in demand and a change in quantity demanded along with the causes of those changes, and how each change is graphically represented. b. Supply. i.Define supply. ii. State the law of supply. iii. List and explain the determinants of supply and how each can cause an increase in supply and a decrease in supply. iv. Thoroughly and completely explain the differences between a change in supply and a change in quantity supplied,…
9. In general, elasticity is a measure of a. the extent to which advances in technology are adopted by producers. b. the extent to which a market iscompetitive. c. how fast the price of a good responds to a shift of the supply curve or demand curve. d. how much buyers and sellers respond to changes in market conditions.
7. Find the flaws in reasoning in the following statements, paying particular attention to the distinction between shifts of and movements along the supply and demand curves. Draw a diagram to illustrate what actually hap- pens in each situation. a. “A technological innovation that lowers the cost of producing a good might seem at first to resuli in a reduction in the price of the good to consumers. a fall in price will increase demand for the good, and higher demand will send the price up again. It is not certain, therefore, that an innovation will really reduce price in the end." b. "A study shows that eating a clove of garlic a day can help prevent heart disease, causing many consumers to demand more garlic. This increase in demand results in a rise in the price of garlic. Consumers, seeing that the price of garlic has gone up, reduce their demand for garlic. This causes the demand for garlic to decrease and the price of garlic to fall. Therefore, the ultimate effect of the study on…
7. A shift in the supply curve of bicycles resulting from higher metal prices will lead to higher prices lower prices a shift in the demand curve larger output a. b C. d.
3. Draw a supply and demand curve for your P favorite product. You get a massive raise at work, what happens to the supply or demand for that product? Why?