College of Western Idaho

• ECON 201

• Dual Credit Macroeconomics Equilibrium Practice Directions: For each situation below, determine how the change listed would affect the market. Would this create a change to the demand for the good or the supply of the good by businesses? How will the change impact the market? Show the change on a properly labeled graph of Demand and Supply and then show the effect on equilibrium price and quantity. (This assignment will be graded out of 25 points, 5 points possible per situation) This assignment has graphs that you need to construct as part of your answer. Please go to Draw IO to make your graphs. Start with a basic diagram and add in all the parts needed to make the correct graph for your answer. When you’re done, save your work and then paste the image into your assignment before you submit it for the class. Before you finish, check your work!  Are the horizontal and vertical axes labeled correctly?  Does every line have a label?  Are shifts shown with directional arrows?  Did you show changes in equilibrium points by labeling new one and showing changes in levels on the axes?