1. Consider the market for tablets. For each of the situations listed below, identify which of the determinants of demand or supply are affected. Also indicate whether demand or supply increases or decreases. Then draw a graph that shows the effect on equilibrium price and quantity of tablets in each situation. · There is an international pandemic forcing people to work remotely
· The wages of tablet builders goes up.
· The price of laptops goes down
· Chipmakers create cheaper faster chips for electronic devices

2. Suppose there are 10 million workers in Canada and that each of these workers can produce either 2 cars or 30 bushels of wheat in a year.
a. What is the opportunity cost of producing a car in Canada? What is the opportunity cost of producing a bushel of wheat in Canada? If the US had an opp. Cost for cars of 14, and an opportunity cost for a bushel of wheat of 1/14, and both countries decided to trade, which country would specialize in cars and which country would specialize in wheat?
b. Draw Canada’s production possibilities frontier and show where it would produce if it decided to consume an equal amount of cars and of bushels of wheat.
c. How would it distribute its workers to produce the quantities in b.?