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  7 Pages 1761 Words

 Business Management

Referencing Styles : Harvard

Part 1: Firm Perspective [20 marks] 1. Explain using a diagram what would happen in the market for car tires if at the same time there was an increase in the prices of rubber used in the production of tires and a decrease in the price for cars. Explain the effects on price and quantity. (10 marks)  2. In a perfectly competitive market for apples explain would happen in the shortrun to the market and to individual producers if the price for pears went up. Demonstrate your answer using a diag ...

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