State whether each of the following events will result in a movement along the demand curve...
6. Will each of the following events result in a movement along the demand curve or a shift (left or right?) of the demand curve for McDonald’s Big Mac hamburgers? a. The price of Burger King’s Whopper hamburger declines. b. McDonald’s distributes coupons for $1.00 off the purchase of a Big Mac c. Because of a shortage of potatoes, the price of French fries increases d. Fast-food restaurants post nutrition warning labels e. The U.S. economy enters a period of...
Consider the demand curve representing the demand for McDonald's Big Mac hamburgers in the United States during the month of February. For each of the events below, indicate whether the event will cause the demand curve to increase (shift to the right), decrease (shift to the left), or to remain the same. Briefly explain your responses. a. Burger King cuts the price of a Whopper from $3.49 to $2.99 b. Because of a shortage of potatoes, the price of French...
State whether each of the following events will result in a movement along the demand curve for Burger King’s chicken-burger in Halifax or whether it will cause the demand curve to shift either to the right or to the left. Support your argument by drawing a graph to illustrate the shift. 1.1 The price of Burger King’s chicken burger declines. 1.2 The Nova Scotia economy enters a period of rapid growth in incomes. 1.3 A&W claims that they serve beef...
State whether each of the following events will result in a movement along the market supply curve of agricultural labor in the United States or whether it will cause the market supply curve of labor to shift. If the supply curve shifts, indicate whether it will shift to the left or to the right. A decline in the agricultural wage rate will result in a movement along the labor supply curve. A decrease in wages outside of agriculture will O...
For each of the following events, 1) state whether there is movement along the IS curve or a shift, and 2) the direction of the shift or movement along. If the IS curve isn’t affected, be sure to state that too. 1) The real interest rate decreases 2) Firms begin to expect lower future profits 3) Government spending increases 4) Real GDP (output) increases
For each of the following events determine whether it would cause a shift of the demand curve or a movement along the demand curve. Shift or Movement Along Demand Event The price of a complementary good changes. Incomes in the economy change; the good is a normal good Incomes in the economy change; the good is an inferior good. The price of the good itself increases. All of the following are ways to calculate GDP except O A. adding up...
4. Movements along versus shifts of demand curves Consider the market demand for cereal. Complete the following table by indicating whether an event will cause a movement along the demand curve for cereal or a shift of the demand curve for cereal, holding all else constant.EventMovement Along ShiftAn increase in the price of cereal A change in tastes of consumers that makes them desire more cerealA change in the expectations of consumers about their future income
4. State whether each of the following will shift the supply curve or demand curve for bonds, or both, and in which direction. a. State and local governments increase taxes to reduce their deficits. b. The real estate market is expected to strengthen. c. Business confidence increases. d. Computerized trading makes buying and selling bonds easier. e. Inflation is expected to increase.
Determine whether each of the following events shifts the short-run aggregate-supply curve, the aggregate demand curve, or both. For each event that shift a curve, illustrate, and explain the effect using AD-AS. a. Due to Covid-19, many households feel pessimistic with the economy and decide to save more.b. Due to Covid-19 outbreak, many factories are forced to halt production for semiconductor. c. OPEC decide to raise the global price for oil.