Changes

4. Why do grocery stores lower the price of their fruit (such as grapes) when they have an oversupply of ripened fruit?  Explain by citing the downward slope of a demand curve, and describe what happens to this fruit after the grocery store lowers its price.

4. Why do grocery stores lower the price of their fruit (such as grapes) when they have an oversupply of ripened fruit?  Explain by citing the downward slope of a demand curve, and describe what happens to this fruit after the grocery store lowers its price.

5. When the New York Yankees built their new $1.5 billion ballpark, they made a decision about how many "obstructed view" bleacher seats to include.  Due to the design of this new stadium, people sitting in these bleacher seats could not see all of the field because part of the stadium structure blocks part of their view.  Here is what the supply and demand are for those obstructed-view seats:

5. When the New York Yankees built their new $1.5 billion ballpark, they made a decision about how many "obstructed view" bleacher seats to include.  Due to the design of this new stadium, people sitting in these bleacher seats could not see all of the field because part of the stadium structure blocks part of their view.  Before the Yankees decided how many of these seats to build and sell, they asked an expert economist for his advice.  He studied the "supply and demand" in the market, and developed this table:

{| class="wikitable"

{| class="wikitable"

|-

|-

|Price/Ticket

|Price/Ticket for an "Obstructed View" seat

|Supply quantity at that price

|Supply quantity at that price

|Demand quantity at that price

|Demand quantity at that price