I Have Completed Steps 1, 2 and 3 in My Graph and Have Labeled the Different Supply Curves

I have completed steps 1, 2 and 3 in my graph and have labeled the different supply curves.

Step 4: In a few sentences, explain a situation that could have resulted in the supply increase.

It’s holiday season and many are buying Xbox consoles for gifts. The price of these consoles decrease. At the same time, people will want to buy the Xbox controller that will go with the console. This is a smart move by the Xbox company because people buying the consoles, that don’t include a controller, will be tempted to buy the controller separately for full price. This economic situation would relate to the “O” factor in the acronym “ROTTEN,” which stands for “Other goods.” In other words, the ones buying the consoles, need a controller to actually play it.

I have completed step 5 in my graph and labeled the supply curve.

Step 6: In a few sentences, explain a situation that could have resulted in the supply decrease.

There was a fire at the major warehouse building where all the Xbox controllers, consoles, etc. are kept. Mostly everything was destroyed in the fire. A gas truck that was supplying fuel to other trucks, in the building, exploded causing the building to go down with it. This situation has to do with the “R” in the acronym “ROTTEN,” standing for “resource.” A major warehouse burned down causing the supply of Xbox controllers to decrease.