Reference no: EM132153356

1) consider the market for coffee. Which of the following would cause supply to increase?

A) a drought that reduces coffee bean yields.

B) Fewer competitors in the market.

C) The price of cocaine rises.

D) Coffee prices are expected to decrease in the future.

2) consider the market for Canadian university degrees. which of the following would cause supply to increase?

A) universities across Canada shut down.

B) good jobs, requiring only a high school degree, rise in availability.

C) an increase in household income when degrees are normal goods.

D) The government subsidizes university research and teaching.

3) consider the market for philosophy textbooks. which of the following would cause supply to decrease?

A) The price of paper decreases.

B) a new printing press makes it cheaper and easier to print textbooks.

C) Cogito, ergo sum.

D) None of the above.

4) According to a 2015 Fortune article, male fashion models make an average of $28,000 per year, while female fashion models make an average of $41,300 per year. The highest paid female model was Gisele Bundchen, who made $47 million, while the top male model, Sean O'Pry, made slightly over $1.5 million. Using supply and demand, explain this discrepancy in pay (Hint: in the market for labour, the price of labour is wages, while the quantity of labour is hours worked).