Question

determine which economic principle is illustrated by each scenario. a. the owner of a snow cone trailer realizes that the demand for snow cones is low during the winter and closes shop until the temperature warms back up near summertime. specialization equilibrium government intervention market efficiency b. the local river has so much pollution that three - eyed amount of chemicals dumped into the river. c. at a high - end restaurant, the restaurant owner has one chef at a meat station, one chef at a vegetable station, and one chef, who has an artistic eye, plate the food she is given. the result is increased service speed, enabling the kitchen to serve more customers in an evening. d. during the summer, a bumper crop of oranges in florida causes a surplus in the supply of oranges nationwide. as a result, prices fall to compensate for the surplus, and consumers enjoy the fruits of the farmers labor.

Explanation:

Part a

The owner closes the shop in winter (low demand) and reopens in summer (high demand) to align with market conditions, showing how markets reach a balance (equilibrium) between supply and demand over time.

Pollution in the river leads to government actions (enacting laws) to limit chemical dumping, which is an example of the government intervening in the market to correct a negative externality (pollution).

Chefs are assigned to specific stations (meat, vegetable, plating) to focus on specialized tasks, which increases efficiency (service speed) – this is the principle of specialization.

Answer:

equilibrium

Part b