Question

Draw a supply-and-demand diagram representing the market for sugar for each of the sub-questions below. Show...

Draw a supply-and-demand diagram representing the market for sugar for each of the sub-questions below. Show the effects of the scenario in each sub-question on the equilibrium price and quantity of sugar. Carefully label the diagram and show the shift of the curves clearly.  

a.     The price of sugar cane falls during the Halloween season

b.     The workers working in the sugar industry go on strike and at the same time the price of artificial sweeteners rises dramatically.

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