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Economics Assignment Question
Length: Approx 2,000 words each
Task
Answer the following questions ensuring that you apply economic principles or theory related to (a) the concepts of supply and demand for Question 1 and (b) the concepts of specialisation and exchange for Question 2 to inform your analysis and support your decisions. Communicate your ideas with correct grammar, spelling and writing style and support your answers with diagrams as necessary.
Question 1
Drawing on your knowledge of the theory of demand and supply - supplemented by appropriate media reports - explain what has been happening to the price of gas in Australia over the last ten years.
Question 2
Drawing on your knowledge of the theory of specialisation and exchange - supplemented by appropriate media reports - explain what the consequences of rising energy costs will be for heavy industry in Australia.
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