HI5003 Economics For Business - Assessment Task Tutorial Questions

Question 2: Week 3 Question 2, (11 marks)

1. Draw a figure depicting market equilibrium in the ice-cream market. Label the figure properly. Briefly explain the figure. (3.5 marks)
2. Draw a new figure depicting the following situation: The weather is suddenly unseasonably hot and at the same time the wage of ice-cream salespeople increases.
   Explain your figure, and report on your new equilibrium price and quantity. (7.5 marks)