Price gouging, Microeconomics

Assignment Help:

In John Stossel's article, "In Praise of Price Gouging", Stossel argues that a law banning price gouging would result in a two-block line for gasoline after Superstorm Sandy.

a. Explain in words and using a graph why the ban on price gouging may cause a long line for gasoline. Label the axis and all the lines. Be precise.

b. Has supply changed, demand changed, or both? Explain.

c. Using two graphs, show consumer surplus before and after government intervention. Be precise. Label the axis and all the lines.

1745_Price Gouging.png


Related Discussions:- Price gouging

Explain consumer sovereignty, Explain consumer sovereignty and why it might...

Explain consumer sovereignty and why it might not be that extensive in real life. Explanation of consumer sovereignty Use of S/D model to show how changes in consumption pat

Deficiency of vitamin a, Deficiency of Vitamin A Deficiency of Vitamin A ha...

Deficiency of Vitamin A Deficiency of Vitamin A has been found to impose adverse effects on roughly one third of the children below the age of five around the world. It has also be

Change in consumer income, Change in consumer income: A change in consum...

Change in consumer income: A change in consumer income may bring about a change in the quantity demanded of a good or service. However, the direction of change in quantity deman

Production, boumal''s single product modelwith out advertisment

boumal''s single product modelwith out advertisment

MIF, What is the purpose of the IMF and why might the IMF be called the “le...

What is the purpose of the IMF and why might the IMF be called the “lender of last resort”? Discuss how three of the tools they use for establishing economic stability in a country

Functions of the adb, Functions of the ADB: ADB finances principally s...

Functions of the ADB: ADB finances principally specific projects in the region. It may make loans to or invest in the projects concerned. It may also guarantee loans granted t

Double jeopardy, Double Jeopardy A condition where an entrepreneur's m...

Double Jeopardy A condition where an entrepreneur's main source of income and net worth depend on the entrepreneur's organization.

DEMAND FUNCTIONS, SUPPOSE A MONOPOLIST FACES A DEMAND CURVE OF D(P)=10-P AN...

SUPPOSE A MONOPOLIST FACES A DEMAND CURVE OF D(P)=10-P AND HAS A FIXED SUPPLY OF 7 UNITS OF OUTPUT TO SELL.WHAT IS THE PROFIT MAXIMIMISING PRICE AND WHAT ARE ITS MAXIMUM PROFITS

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd