How do the concepts of microeconomics help us understand the factors that affect shifts in supply and demand on equilibrium price and quantity? | Homework Help

Scenarios

1. A cancer preventing apple is invented

Supply goes > up

Demand goes > up

2. Apple pickers become unionized (wage increase)

Supply goes < down

Demand goes < down

From the two above scenarios writea 12,100 word paper that:

• Identify if the scenarios above aremicroeconomics or macroeconomics principles or concepts.
• Explain why you have categorized these scenarios as principles or concepts of microeconomics or macroeconomics.
• Identify at least one shift of the supply curve and one shift of the demand curve in the above scenarios.
• Explain what causes the shifts, and how each shift affects the price, quantity, and decision making within the above scenarios.
• Include responses to the following:
  • How should we apply what we have learned about the above scenarios about supply and demand to our workplace or understanding of a real-world product with which we may be familiar?
  • How do the concepts of microeconomics help us understand the factors that affect shifts in supply and demand on equilibrium price and quantity?
  • How do the concepts of macroeconomics help us understand the factors that affect shifts in supply and demand on the equilibrium price and quantity?
  • How does the price elasticity of demand affect a consumer’s purchase and the firm’s pricing strategy as it relates to the above scenarios?