ad the following situations and determine if the supply curve should shift to the right (increase) or shift to the ecrease.) Answer the questions, write the factor affecting the shift in demand and then draw the shift in dema 1. The price of wool increased. What happens to the supply of wool socks? Factor: 3. The government is subsidizing the production of corn. What will happen to the supply of corn? Factor: 2. A tax was placed on the pollution expelled by tire manufacturing plants. What happens to supply of tires? Factor: 4. A new restaurant opens in town. What happens to the local restaurant industry Factor:

ad the following situations and determine if the supply curve should shift to the right (increase) or shift to the ecrease.) Answer the questions, write the factor affecting the shift in demand and then draw the shift in dema 1. The price of wool increased. What happens to the supply of wool socks? Factor: 3. The government is subsidizing the production of corn. What will happen to the supply of corn? Factor: 2. A tax was placed on the pollution expelled by tire manufacturing plants. What happens to supply of tires? Factor: 4. A new restaurant opens in town. What happens to the local restaurant industry Factor:

Exploring Economics

8th Edition

ISBN:9781544336329

Author:Robert L. Sexton

Publisher:Robert L. Sexton

Chapter5: Markets In Motion And Price Controls

Section: Chapter Questions

Problem 1P

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