1. Supply and Demand
Part 2

2. Shifts in Demand
A well known athlete who endorses a line of button down shirts is discovered to have been unfaithful to his wife.
Demand Shift:
Left

3. Shifts in Demand
The number of Netflix rentals if movie tickets prices increase to $12.00 per person.
Demand Shift:
Right

4. Shifts in Supply
Due to recent high fuel prices, United Airlines has reduced the number of flights to the Caribbean for the upcoming spring break.
Supply Shift:
Left

5. Shifts in Supply
A water bottle company hears a forecast for a hurricane in the Polk county area early next week.
Supply Shift:
Right

6. Shifts in Supply
The state of Florida announces higher taxes on gasoline to cover road repairs.
Supply Shift:
Left

7. Shortage and Surplus of Apples
Indicate whether there is a shortage (quantity demanded > quantity supplied) or a surplus (quantity supplied > quantity demanded). Indicate the amount of the shortage or surplus.
Price per bushel
Quantity demanded (D)
Quantity Supplied (S)
Surplus or Shortage
Amount
$40 20 60
$32 30 50
$24 40
$16 $8
Surplus 40
Surplus 20
Equilibrium
Shortage 20
Shortage 40