# (microeconomics) clear instructions listed. 3 questions 200 word per

1. During the spring when demand for lobster is relatively low, Maine lobster fishermen are able to sell their lobster catches for about \$5.50 per pound. During the summer when demand for lobster is much higher, Maine lobster fishermen are able to sell their lobster catches for only about \$4.00 per pound. It may seem strange that the market price is higher when demand is low than when demand is high. Use supply and demand analysis to describe why this situation exists.  Illustrate with a graph if you are able to do so.  (Note: you don’t need to know anything about lobster fishing to answer this question.)

2. Several years ago, health officials became very concerned about contaminated spinach, and recalled most of the produce that was available in supermarkets across the country. Answer one or more of the questions below—illustrate with a graph if you are able to do so.

What would this concern do to the demand curve for spinach?

How would it impact the demand curves for organic spinach or other edible greens?

3.  As you know, gasoline prices have dropped significantly over the past year. Explain why this has occurred in terms of supply and demand; illustrate with a graph if possible. What impact will the lower prices have on supply in the long run (now to 2 years out)?

Your posts must contain a minimum of 200 words Per Question. You must include citations to support your responses.

USE ATTACHMENT AS REFERENCE: “PRINCIPLES OF ECONOMICS VERSION 3.0” (Chapter 5,6,7)

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