資源描述：
《10e_Essay_Test_Bank_Ch_5_FINAL》由會員上傳分享，免費在線閱讀，更多相關內(nèi)容在教育資源-天天文庫。
1、Chapter5:UsingSupplyandDemandEssayQuestions1.AsaresultoftherapidgrowthoftheChineseeconomy,worlddemandforpetroleumproductshasincreasedsignificantly.Atthesametime,thewarinIraqhasreducedthatnation'spetroleumproductionandexportstolevelsthatarewellbelowpre-warlevels.Botheventshaveh
2、adsignificantimpactsonworldoilprices.Howwouldthesimplesupplyanddemandmodelapplytothiscase?Answer:Usingsimpledemand/supplyanalysis,onewouldexpectthat,theincreaseinChineseincomeswouldshifttheworlddemandcurveforoiloutward.Thiswouldraiseboththeequilibriumpriceandquantity.Thedeclin
3、einIraqioilproductionwouldshifttheworldsupplycurvetotheleft.Thiswouldaddtotheforcespushingupworldoilprices.However,thedecreaseinsupplywouldhavetheoppositeeffectontheequilibriumquantityastheincreaseinChinesedemandforoil.Thuswecouldnotbesurehowtheequilibriumquantitywouldmove.Ift
4、heincreaseinChinesedemandwasgreaterthanthedecreaseinIraqisupply,thentheequilibriumquantitywouldincrease.TheequilibriumquantitywoulddecreaseifthedecreaseinIraqisupplywasgreaterthantheincreaseinChinesedemand.2.Whatisapriceceiling?Whatisapricefloor?Givearealworldexampleofeach.Wha
5、thappenstotherelationshipbetweenquantitydemandedandthequantitysuppliedwithaneffectivepriceceiling?Whathappenstotherelationshipbetweenquantitydemandedandthequantitysuppliedwithaneffectivepricefloor?Whatislikelytohappenifthereisashortageofrentcontrolledapartments?Whatislikelytoh
6、appenifthereisasurplusofpricesupportedgrain?Answer:Apriceceilingisagovernment-imposedlimitonhowhighapricecanbecharged.Withaneffectivepriceceiling,quantitydemandedexceedsquantitysupplied.Thereisa“shortage.”Apricefloorisagovernment-imposedlimitonhowlowapricecanbecharged.Withanef
7、fectivepricefloor,quantitysuppliedexceedsquantitydemanded.Thereisa“surplus.”Whenthereisashortageofrentcontrolledapartments,therewillbeatendencyfortenantstomake“underthetable”paymentstolandlords.Whenthereisasurplusofgrains,therewillbepressuretodestroythesurplus(ordumpitonforeig
8、nmarkets).3.Defineanexcisetaxandgivethreeexamples.Explainther
