Cameron University Demand and supply and Elastic & Inelastic Supply Discussion UNIT 2 CHAPTER 3 Do you see any contradiction between the two statements? P

Cameron University Demand and supply and Elastic & Inelastic Supply Discussion UNIT 2 CHAPTER 3

Do you see any contradiction between the two statements? Please explain which of the two statements does represent the law of demand. Explain whether change in demand or supply are involved for each part.

a) After the financial crisis of 2007-08, the price of houses was falling. As the economy is growing in recent years, many people are buying houses, which is leading to increase in price of houses.

b) As the price of houses is increasing people are buying fewer houses.

Do you see any contradiction between the two statements? Using demand and supply theory of price determination, please explain.

Which of the two statements does represent the law of demand.

2. Analyze short run and long run impact of price regulations (price ceiling and price floor).

Another one UNIT 3 CHAPTER 6 send me answer for this one separately

1 . Which of the following has a more price elastic supply in the short run?

Hospitals or mobile clinics
Purebred dogs or mixed-breed dogs
On-campus courses or online courses

2. Suppose that when the average family income rises from $30,000 per year to $40,000 per year, the average family’s purchase of toilet paper rises from 100 rolls to 105 rolls per year.

Calculate the income-elasticity of demand for toilet paper.

Is toilet paper or normal or an inferior good?
Is the demand for toilet paper income-elastic or income-inelastic?