Download L ~ Chapter 6 Equilibrium Worksheet

Name: _______________________ Date: _______ Per: ________
Equilibrium Worksheet
Directions: Read each situation and decide how it will affect the market indicated on the graph.
The first economic analysis has been done for you.
A new study now indicates that daily reading expands
lifetime earnings by 50%.
A. Label original equilibrium point; label it “A”
B. Decide if headline will cause a shift in supply or
demand: Increase Demand
C. Draw a new curve representing the change in either
Supply or Demand; label it “S1” or “D1”
D. Label new equilibrium point; label it “B”
E. Decide what determinant (reason for change):
Taste, trends, advertising
F. Determine effect on equilibrium price: Increase 
G. Determine Effect on equilibrium quantity: Increase 
1. Dell and Hewlett Packard enter the mobile market; new
new phones to be out next year.
A.
B.
C.
D.
E.
F.
G.
P
R
I
C
E
D1
D
B
S
P1
A
P
0
Q
Q1
Books
P
D
Label original equilibrium point “A”
Shift in supply or demand: ___________________
Label new curve “S1” or “D1”
Label new equilibrium point “B”
Determinant: ________________________
Effect on equilibrium Price:____________________
Effect on equilibrium Quantity: __________________
QUANTITY
S
Q
0
Smart Phones
2. Millions of baby boomers retire. Many report now is the
time for rest and relaxation.
a)
b)
c)
d)
e)
f)
g)
P
D
Label original equilibrium point “A”
Shift in supply or demand: ___________________
Label new curve “S1” or “D1”
Label new equilibrium point “B”
Determinant: ________________________
Effect on equilibrium Price:____________________
Effect on equilibrium Quantity: __________________
S
Q
0
Caribbean Cruises
3. Industrial robot cuts production time in half for televisions
a)
b)
c)
d)
e)
f)
g)
P
Label original equilibrium point “A”
Shift in supply or demand: ___________________
Label new curve “S1” or “D1”
Label new equilibrium point “B”
Determinant: ________________________
Effect on equilibrium Price:____________________
Effect on equilibrium Quantity: __________________
D
0
4. New healthcare tax imposed on alcohol producers
a)
b)
c)
d)
e)
f)
g)
S
Q
Televisions
P
D
Label original equilibrium point “A”
Shift in supply or demand: ___________________
Label new curve “S1” or “D1”
Label new equilibrium point “B”
Determinant: ________________________
Effect on equilibrium Price:____________________
Effect on equilibrium Quantity: __________________
S
Q
0
Wine
P
5. Employees leak information - Best Buy electronics
planning to raise computer prices by 20% next month.
a)
b)
c)
d)
e)
f)
g)
Label original equilibrium point “A”
Shift in supply or demand: ___________________
Label new curve “S1” or “D1”
Label new equilibrium point “B”
Determinant: ________________________
Effect on equilibrium Price:____________________
Effect on equilibrium Quantity: _________________
D
0
S
Q
Computers
P
6. A prolonged severe winter destroys half
the world’s coffee crop
a)
b)
c)
d)
e)
f)
g)
Label original equilibrium point “A”
Shift in supply or demand: ___________________
Label new curve “S1” or “D1”
Label new equilibrium point “B”
Determinant: ________________________
Effect on equilibrium Price:____________________
Effect on equilibrium Quantity: __________________
D
0
S
Coffee
Q
P
7. Consumers react after hot dogs prices reach record highs
a)
b)
c)
d)
e)
f)
g)
D
Label original equilibrium point “A”
Shift in supply or demand: ___________________
Label new curve “S1” or “D1”
Label new equilibrium point “B”
Determinant: ________________________
Effect on equilibrium Price:____________________
Effect on equilibrium Quantity: __________________
S
Q
0
Hot Dog Buns
P
8. Consumers react after hot dog prices reach record highs
a)
b)
c)
d)
e)
f)
g)
D
Label original equilibrium point “A”
Shift in supply or demand: ___________________
Label new curve “S1” or “D1”
Label new equilibrium point “B”
Determinant: ________________________
Effect on equilibrium Price:____________________
Effect on equilibrium Quantity: __________________
S
Q
0
Hamburgers
P
9. Middle class American workers’ average
take-home pay has dropped for the last six months.
a)
b)
c)
d)
e)
f)
g)
Label original equilibrium point “A”
Shift in supply or demand: ___________________
Label new curve “S1” or “D1”
Label new equilibrium point “B”
Determinant: ________________________
Effect on equilibrium Price:____________________
Effect on equilibrium Quantity: __________________
D
S
Q
0
Ford Pick-up Trucks
P
10. Workers at Nintendo agree to wage cuts after
company loses 2 billion in 2016.
a)
b)
c)
d)
e)
f)
g)
Label original equilibrium point “A”
Shift in supply or demand: ___________________
Label new curve “S1” or “D1”
Label new equilibrium point “B”
Determinant: ________________________
Effect on equilibrium Price:____________________
Effect on equilibrium Quantity: __________________
D
0
S
Video Games
Q