Equilibrium is achieved when quantity demanded intersect with quantity supplied. Assume a product “Y” for which supply and demand shifts. You are required to prepare graphs of each situation given below? i. Increase in income: Y is a normal good. ii. Increase in income: Y is an inferior good. iii. Decrease in the price of a substitute for Y. iv. Decrease in the price of a complement for Y. v. Increase in the cost of production of Y.

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Equilibrium is achieved when quantity demanded intersect with quantity
supplied. Assume a product “Y” for which supply and demand shifts.
You are required to prepare graphs of each situation given below? i.
Increase in income: Y is a normal good. ii. Increase in income: Y is
an inferior good. iii. Decrease in the price of a substitute for Y.
iv. Decrease in the price of a complement for Y. v. Increase in the
cost of production of Y.

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