a.
b. The equilibrium quantity is 45 hundreds and the equilibrium price is $400. This can be seen in the graph where the demand curve and the supply curve intersect is the point (45,400).
c. $500 is not the equilibrium price because at this point, quantity demanded is not equal to quantity supplied.
d. If Thanksgiving is postponed to December 2nd now, the quantity of flights demanded from NYC to LA on Dec 1 would decrease. But the quantity supplied would not decrease one day is a very short period and airline companies cannot quickly adjust their supply curve. Hence the demand curve would move to the left, decreasing the equilibrium price and quantity of flights from NYC to LA on Dec 1.
4. The following gives some fake data for the quantity of flights from NYC to LA...
evens only
1. What is the difference between Change in quantity demanded and Change in demand? 2. True or false? As the price of oranges rises, the demand for oranges falls, ceteris paribus. Explain your answer 3. With respect to each of the following changes, identify whether the demand curve will shit rightward or leftward: a An increase in income (The good under consideration is a normal good) b. A nse in the price of a substtute good C. A...