Answers from a student to review questions in Chapter 4 of Mankiw

These are the review questions a student answered in chapter four. Add a comment if you see any errors. 

Problems and Applications

1) Cold snap hits florida
a. Price rises because supply of oranges decreases and shifts to the left 
Weather turns warm in new england
b. Price of hotel rooms plummets because demands decreases and shifts to the left 
War breaks out in the middle east and gas rises and used caddys fall
c. Price of gasoline rises because supply is decreased so it shifts to the left and used caddys fall because the demand is decreased and shifts to the left because the supply of gasoline decreased.
3)Minivans and the effects
d. More children means the demand for mini vans increases and shift to the right
e. Steel prices rises so supply is decreased 
f. Engineers develop new automated machinery that increases the supply of mini vans shifts to the right
g. Price of sports utility vehicles rises 
4) Compliments
• dvds and tv screens our compliments 
• dvds and movie tickets our subs
• tv screens and movie tickets our subs
b. as the technological advance reduces the cost of manufacturing TV screens the supply would increase because you can create more tv screens at the same cost as before.
5) It created more supply of computer chps which brought the price down on computer chips and computer chips compliment computers so therefore the price of computers went down as well. 
6)
a. increases supply
b. increased demand
c. increased demand of exercised attire
d. supply increases
10) Supply decreased because something affected price.