Question

Question was provided via image upload.

Explanation:

Question 6

Step1: Analyze cost impact

Auto workers' pay cut reduces production costs. Lower costs mean producers can supply more at each price. So supply increases.

Step2: Identify determinant

From the table, "Costs of production change" (item 9) is the determinant.

Step3: Determine curve shift

Increased supply shifts the curve to the right (more quantity supplied at each price).

Step1: Analyze expectations

Producers expect sales to increase, so they'll supply more now (expectations of price - related to sales here). This is "Expectations of price changes" (item 12).

Step2: Determine supply change

Increased supply (they produce more to meet expected demand).

Step3: Curve shift direction

Increased supply shifts right.

Step1: Analyze subsidy impact

Subsidy to producers reduces their costs (or increases revenue), so they supply more. This is a cost - related change (subsidy affects production cost - like a reverse cost increase). The determinant is "Costs of production change" (item 9, as subsidy changes effective production cost).

Step2: Supply change

Supply increases.

Step3: Curve shift

Right shift (more supply at each price).

Answer:

• Supply: Increase
• Determinant: Costs of production change
• Curve shift: Right

Question 7