Economics Micro & Macro (CliffsAP)

Figure 2-10

We have just finished looking at supply and demand separately; next let’s examine what happens to price and quantity
when we have a simultaneous shift.

S

D

Hairspray Found To Aggrevate Allergies.

S F.

D

Minimum Wage Has Been Increased.

E.

S

D

High Tariffs Are Placed On

Imported Aluminum.

S D.

D

Taxes Are Increased For All

Hairspray Products.

C.

S

D

The Government Gives All

Hairspray Products A Subsidy.

S B.

D

The Price Of Aluminum Rises.

A.

Supply and Demand