Essentials of Economics 7th Edition by Gregory Mankiw

Exercise 13

Explain each of the following statements using supply-and-demand diagrams.
a. "When a cold snap hits Florida, the price of orange juice rises in supermarkets through-out the country."
b. "When the weather turns warm in New England every summer, the price of hotel rooms in Caribbean resorts plummets."
c. "When a war breaks out in the Middle East, the price of gasoline rises, and the price of a used Cadillac falls."