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b. Now assume that an increase in income and population mean that demand curve has shifted. Assume that the shift is such that, at each price, the quantity demanded has increased by 300 millions. At the new equilibrium, price has ______ (3)______ (increased/decreased) to ______ (4)______ cents, and quantity has ______ (5)______ (increased/decreased) to ______ (6)______ . ______
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c. Now assume that an increase in the price of sugar has caused a shift in the supply curve. At each price, the quantity supplied has been reduced by 150 million. The shift in the supply curve will ______ (7)______ (increase/decrease)price and ______ (8)______ (increase/decrease) quantity. According to the demand schedule you made in part c, the new equilibrium price following the increase in the price of sugar is ______ (9)______ cents, and new equilibrium quantity is ______ (10)______ . ______
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If the percentage change in the quantity supplied of a good is less than the percentage change in price, then supply of the good is
Suppose the cross-price elasticity of demand is a negative number. We know that
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