The graph input tool

Question

Some questions allow you to interact indirectly with a graph by manipulating a corresponding table of entries. In this type of question, you will not be graded on the final appearance of the graph, but rather you will use the graph to help you answer the questions that follow.
You can adjust the values in the accompanying table for fields with white backgrounds. Once you have selected a field, you can either enter a new value or adjust the existing value by selecting the arrows (+ to increase and – to decrease). You can exit the entry field by hitting Enter (or Return) on your keyboard or by selecting a place elsewhere on the problem. To reset a field to its starting value, select the circular refresh arrow that appears next to the selected field.
Experiment with entering different values in the editable fields. Observe what changes take place on the graph itself and also in the uneditable fields in the table. Don’t worry about understanding the economics behind the question, just make sure you understand how to manipulate the values on the graph.

Reset the graph to the initial state. Then, for each action described in the following table, indicate which elements on the graph (if any) are affected. Check all that apply. (Note: After changing the value in each field, be sure to again refresh back to the initial value before proceeding to the next row in the table.)

Demand Curve

Supply Curve

Green Line

Quantity Demanded

Quantity Supplied

Surplus

Shortage

Entering 10.00 into the Price field

Entering 5.00 into the Price of Leather field

Entering 25.00 into the Price of Sneakers field

True or False: You will not be graded on the final appearance of the graph.
True
False

Answer 1

To determine which elements on the graph are affected by each action described in the table, you would need to observe how the graph responds to the changes made to the fields. However, since I cannot interact with the graph directly, I will guide you through the potential effects of each action based on common economic principles.

1. Entering 10.00 into the Price field:

   • Demand Curve: Likely affected, as the quantity demanded generally changes with price.
   • Supply Curve: Likely affected, as the quantity supplied generally changes with price.
   • Green Line: May represent equilibrium price, hence affected.
   • Quantity Demanded: Affected, since quantity demanded changes with price.
   • Quantity Supplied: Affected because quantity supplied also changes with price.
   • Surplus: May be affected depending on the relationship between quantity demanded and supplied at the price.
   • Shortage: May be affected if quantity demanded exceeds quantity supplied at that price.

2. Entering 5.00 into the Price of Leather field:

   • Demand Curve: May be affected if leather is an input for production—changes in input prices can affect the supply curve.
   • Supply Curve: Likely affected because a change in the price of inputs like leather affects production costs, thereby affecting supply.
   • Green Line: May change as the equilibrium price could adjust due to changes in supply.
   • Quantity Demanded: May not be directly affected unless it involves substitute goods.
   • Quantity Supplied: Affected due to changed supply conditions.
   • Surplus: Affected if the market adjusts to a new equilibrium.
   • Shortage: Affected similarly if the new conditions create a mismatch.

3. Entering 25.00 into the Price of Sneakers field:

   • Demand Curve: Affected, as a higher price typically decreases quantity demanded.
   • Supply Curve: Affected as a higher price can incentivize suppliers to supply more.
   • Green Line: Could be affected depending on the resulting equilibrium.
   • Quantity Demanded: Affected, as higher prices reduce quantity demanded.
   • Quantity Supplied: Affected, as suppliers may increase quantity supplied at this higher price.
   • Surplus: Likely affected, since an increase in price may lead to a surplus if quantity supplied exceeds quantity demanded.
   • Shortage: Likely not affected directly unless quantity demanded remains high despite the price increase.

As for the true or false question regarding grading on the final appearance of the graph, the correct answer is True. You will not be graded on the final appearance of the graph but on your understanding and manipulation of the values.