Answer Happy

Part 1 Exercise 2 Question Given the political climate in the Mideast and nearby region, gasoline, heating oil, and natural gas prices could rise significantly at any time. If this indeed occurs, how will our economy be affected. Use the basic market model in your analysis. Consider the possible impacts on different critical markets such as automobiles, electronics, computers, travel, etc. Question 3 eparately, for each of the following for a generic market model, please explain what will happen to the equilibrium price and quantity. a. Both supply and demand increase. b. Both supply and demand decrease. c. Supply increases and demand decreases. d. Supply decreases and demand increases.