Question

In the market for sushi, the following exogenous variables change. In each case, indicate the movement...

In the market for sushi, the following exogenous variables change. In each case, indicate the movement of supply and/or demand, and how equilibrium price and quantity change. Sketch brief graphs showing the changes.

a) More people decide that sushi is healthy.

b) The government decides to tax fish.

c) The government decides to tax fish and a recession occurs. (Hint: show the two possible outcomes.)

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