This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Suppose that the supply and demand of wheat depend on the price of wheat (p), the amount of annual ... (Read 207 times)

pane00

  • Hero Member
  • *****
  • Posts: 579
on: Jul 1, 2018
Suppose that the supply and demand of wheat depend on the price of wheat (p), the amount of annual rainfall (r), and the level of disposable consumer income (I).
 
  The equations describing the supply and demand curves are given by: QS = 20r + 100p QD = 4000 - 100p + 10I Sketch a graph of the supply and demand curves for wheat and show the effects of an increase in the quantity of rainfall. How does each curve shift (if at all) from the increase in rainfall? What does this shift do to the equilibrium price and quantity (increase/decrease)?

Question 2

If inflation turns out to be higher than was anticipated,
 
  A) debtors are helped.
  B) debtors are hurt.
  C) debtors are neither helped nor hurt.
  D) the effect on debtors cannot be predicted.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

zoeyesther

  • Sr. Member
  • ****
  • Posts: 315
Reply #1 on: Jul 1, 2018
Answer to Question 1

An increase in rainfall will shift the supply curve to the right (increase in supply). A change in rainfall does not change the demand curve (r does not appear in the equation). This will increase the equilibrium quantity and decrease the equilibrium price.

Answer to Question 2

A


pane00

  • Member
  • Posts: 579
Reply 2 on: Jul 1, 2018
:D TYSM

AmberC1996

  • Member
  • Posts: 317
Reply 3 on: Yesterday
Great answer, keep it coming :)

« previous next »
 

Did you know?

Although not all of the following muscle groups are commonly used, intramuscular injections may be given into the abdominals, biceps, calves, deltoids, gluteals, laterals, pectorals, quadriceps, trapezoids, and triceps.

Did you know?

Every flu season is different, and even healthy people can get extremely sick from the flu, as well as spread it to others. The flu season can begin as early as October and last as late as May. Every person over six months of age should get an annual flu vaccine. The vaccine cannot cause you to get influenza, but in some seasons, may not be completely able to prevent you from acquiring influenza due to changes in causative viruses. The viruses in the flu shot are killed—there is no way they can give you the flu. Minor side effects include soreness, redness, or swelling where the shot was given. It is possible to develop a slight fever, and body aches, but these are simply signs that the body is responding to the vaccine and making itself ready to fight off the influenza virus should you come in contact with it.

Did you know?

Human kidneys will clean about 1 million gallons of blood in an average lifetime.

Did you know?

Though newer “smart” infusion pumps are increasingly becoming more sophisticated, they cannot prevent all programming and administration errors. Health care professionals that use smart infusion pumps must still practice the rights of medication administration and have other professionals double-check all high-risk infusions.

Did you know?

Always store hazardous household chemicals in their original containers out of reach of children. These include bleach, paint, strippers and products containing turpentine, garden chemicals, oven cleaners, fondue fuels, nail polish, and nail polish remover.

Many ideologies stem from older theories. The ideas of the philosophers are simplified. Ideologies Many ideologies stem from older theories. The ideas of the philosophers are simplified. Ideologies
Connect a fused jumper wire to supply 12 volts to terminal 86 and a ground to terminal 85 of the ... Connect a fused jumper wire to supply 12 volts to terminal 86 and a ground to terminal 85 of the ...
Economic recession in 2008 saw a small decrease in demand Economic recession in 2008 saw a small decrease in demand
The original Supply and Demand graph The original Supply and Demand graph
The retail price of a packaged CD is $60.00, which includes a tax of 4%. What is the actual ... The retail price of a packaged CD is $60.00, which includes a tax of 4%. What is the actual ...
Sympatric Speciation in Wheat Sympatric Speciation in Wheat
Video: Anatomy and Chemical Makeup of a Single Hair (Animation)

For a complete list of videos, visit our video library