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Suppose that the president proposes a new law aimed at reducing healthcare costs: All Americans are required to eat one apple daily. 1. How would this apply-a-day law affect the demand and equilibrium price of apples

User Solarenqu
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Answer:

The proposed law requiring all Americans to eat one apple daily would likely increase the demand for apples. If such a law were to be widely adopted and enforced, it would create a substantial increase in the overall demand for apples. The entire population is now mandated to consume this fruit regularly. Increased demand typically leads to a higher equilibrium price in the market.

As more people seek to purchase apples to comply with the law, the demand curve would shift to the right. This shift would result in a new equilibrium where the quantity demanded exceeds the quantity supplied at the current price. In response to the increased demand, producers may raise prices to balance the market and encourage increased supply. Therefore, the equilibrium price of apples would likely rise due to the higher demand resulting from the mandatory consumption requirement.

Step-by-step explanation:

User Wachichornia
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