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Question 01Unexpected low temperatures in the major wine grape producing regions of Tasmania caused adecline in supply of grapes used for producing premium Tasmanian wines. Due to bad weather,the supply of the premium Tasmanian wines will be reduced. This will cause to supply curve ofthe premium Tasmanian wines to shift to the leftward (From S1 to S2). This will result indecrease of the quantity (From Q1 to Q2) and increase of price (From P1 to P2).D1Price ofpremiumTasmanianwinesS2S1P1P2Q2 Q1Quantity of premium Tasmanian winesQuestion 02(a) The market equilibrium will occurs at the point where the quantity of goods demand isexactly equals to the quantity of goods supplied. The quantity of goods demand is exactlyequals to the quantity of goods supplied a price level of $6/tone. This is the marketequilibrium price. the market equilibrium quality is 8100 tonnes. ...


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