Intermediate Microeconomics and Its Application 12th Edition by Walter Nicholson,Christopher Snyder

تمرين 35

Economists use the ceteris paribus assumption to hold ''everything else'' constant when looking at a particular effect. How is this assumption reflected in simultaneous equations? Specifically:
a) Explain how the changes illustrated in Figure represent a change in ''something else.''
b) Explain how the changes illustrated in Figure might occur in a supply-demand context in the real world.
Figure Solving Simultaneous Equations