Social Studies, 13.10.2020 23:01 jameslinimk

Assignment: Supply and Demand of Coffee A key skill in economics is the ability to use the theory of supply and demand to analyze specific markets. In this week’s assignment, you get a chance to demonstrate your ability to analyze the effects of several “shocks” to the market for coffee. Answer all parts of each of the scenarios below.

Scenario 1: Suppose that, as part of an international trade agreement, the U. S. government reduces the tariff on imported coffee. Will this affect the supply or the demand for coffee? Why? Which determinant of demand or supply is being affected? Show graphically with before- and after-curves on the same axes. How will this change the equilibrium price and quantity of coffee? Explain your reasoning.

Scenario 2: Suppose the National Institutes of Health publishes a study finding that coffee drinking reduces the probability of getting colon cancer. How do you imagine this will affect the market for coffee? Why? Which determinant of demand or supply is being affected? Show graphically with before- and after-curves on the same axes. How will this change the equilibrium price and quantity of coffee? Explain your reasoning.

Scenario 3: Combine parts 1 and 2. Suppose that the U. S. government reduces the tariff on imported coffee, and a reputable study is published indicating that coffee drinkers have lower rates of colon cancer. What will the combined impact be on the equilibrium price and quantity of coffee? Explain your reasoning and show graphically. Make sure you think this through carefully!

Answers: 2

Show answers

Other questions on the subject: Social Studies

Social Studies, 22.06.2019 20:00, odalysesquermon

In 1914, alabama produced 1.7 million bales of cotton, but three years later produced only 515,000, bales. meanwhile, in georgia, 5.2 million acres of land was dedicated for cotton production in 1914, but by 1923 there were just 2.6 million acres used for growing cotton. all of this was the result of the work of a tiny insect: the boll weevil. alabama and georgia first felt the effects of the boll weevil at different times. what would account for this difference in timing?

Answers: 1

continue

Social Studies, 23.06.2019 06:00, yere144k

Three thieves agreed to rob a bank. the first was to steal a car to be used for the getaway, the second agreed to procure weapons, and the third would check the bank for cameras. the car thief stole a car and parked it in a lot behind his girlfriend's apartment building. while visiting her the night before the robbery, the car thief suffered a series of convulsive seizures. he was rushed to the hospital where he was placed in the intensive care unit and heavily sedated. meanwhile the two other thieves, unaware of their accomplice's illness, met and decided to rob the bank on their own, despite the absence of a getaway car and driver. they robbed the bank, but were quickly apprehended as they tried to escape and implicated the car thief under police questioning. the car thief can be charged with: a theft of the car only. b conspiracy to commit robbery and theft of the car only. c robbery and theft of the car only. d theft of the car, conspiracy to commit robbery, and robbery.

Answers: 2

continue

Social Studies, 23.06.2019 08:30, Xavier2712

((ᵔᴥᵔ)}[ select all that apply questions! ]{(ᵔᴥᵔ)(1.) which of the following causes of the french government's financial crisis spark the revolution? select all that apply. a.the extravagant spending by the courtb. the cost of the seven years' warc. the expenses of running the bastilled. the cost of aid given to finance the american revolution(2.) despite naming himself emperor, why was napoleon pivotal as a french revolutionary? select all that apply. a. he fostered revolts during his reign. b. he frightened the monarchs of europe with the idea of representative governments. c. he established democracies throughout his empire. d. he established republics that embodied the ideas of the revolution. e. his declaration fueled the ire of the revolutionaries to rise up against him.(｡◕‿‿◕｡)

Answers: 1

continue

Social Studies, 23.06.2019 10:30, micahwilkerson8344

What is your opinion about government shutdown?

Answers: 2

continue

You know the right answer?

Assignment: Supply and Demand of Coffee A key skill in economics is the ability to use the theory o...