Find an article in a recent newspaper or magazine illustrating a change in price or quantity in some market. Analyze the situation using economic reasoning.
1. Has there been an increase or decrease in demand? Factors that could shift the demand curve include changes in preferences , changes in income, changes in the price of substitutes or complements, or changes in the number of consumers in the market.
2. Has there been an increase or decrease in supply? Factors that could shift the supply curve include changes in cost of materials , wages, or other inputs, changes in technology or changes in the number of firms in the market.
3. Draw a supply-and-demand graph to explain this change .Be sure to label your graphand clearly indicate which curve shifts.
4. Upload a copy of the article along with your explanation on Moodle until one week after the end of the course.
5. Avoid advertisements because they contain little information and be wary of commoditu and financial markets unless you have a good understanding of the particular market. Markets for ordinary goods and services are mostly analyzed.