Answer Happy

PART B Data Questions - please answer ALL question (30 marks) 1.) If Peter decides to leave his £54,000 a year job and goes to university, identify two potential opportunity costs arising from this decision and explain your answer. (2 marks) (i) Identify two goods that are complementary goods for university education and explain why you think this is (2 marks) (ii) Assume that when the price of a textbook is £45, the quantity demanded, and quantity supplied are 100,000. Plot the market diagram for university textbooks and show the equilibrium (1 mark) 2. Assume that he UK government decided to increase the tuition fees for attending university in the UK for all students. Describe how this may affect the market (supply or demand) for university textbooks in the (1 mark) UK. ) Identify the market disequilibrium after the change in demand or supply and explain why you think it is. (2 marks) (iii) Explain step by step how the new equilibrium price would set in the market. (3 marks) (iv) Use a diagram to support your answer above. The diagram must be fully labelled, including all points of interest. (4 marks)