1. Explain each of the following statements using supply and demand diagrams. a. When a cold snap hits Florida, the price of orange juice rises in supermarkets through out the country b. When the weather turns warm in new England every summer the price of hotel rooms in Caribbean resorts plummets c. When a war breaks out in the middle east the price of gasoline rises and the price of a used Cadillac falls

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Explain forecasting

Fiel

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Question 1 The demand schedule for 32 Gb USB Flash Drives is: Price (Emalangeni per USB) Quantity Demanded (Millions of USBs per year) 200 50 250 45 300 40 350 35 400 30 What happens to total revenue if the price falls from $400 to $350 a USB? What happens to total revenue if the price falls from $350 to $300 a chip? At what price is total revenue at a maximum? Use the total revenue rest to answer this question. At an average price of $350, is the demand for chips elastic or inelastic? Use the total revenue test to answer this question. Hint: Conduct research from any economics material of your choice on the Total Revenue Test. Question 2 Gizzard’s income has increased from E13000 to E17000. Gizzard increased his demand for concert tickets by 15% and decreased his transportation costs by 10%. Calculate Gizzards' income elasticity of demand for Concert Tickets Transportation Costs Question 3 The demand schedule for sugar is Price (Emalangeni per Kg) Quantity Demanded (Millions of kg per year) 5 25 10 20 15 15 20 10 25 5 What happens to total revenue if the price of sugar rises from E5 to E15 per kg? What happens to total revenue if the price rises from E5 to E25 per kg. At what price is total revenue at a maximum? Use the total revenue test At an average price of E20, a kg is the demand for sugar elastic or inelastic? Again, use total revenue test Question 4 Do your own research and give a full detailed explanation with the aid of a graph to illustrate the Law of Diminishing returns in production. ?