This is a graded exercise. Please make sure to follow the instructions carefully, as an evaluator will be giving you feedback on your submission. You must submit your report as a file.Write a 1-2 page report that explains the law of demand and the determinants of demand using the following example and set of scenarios:A study found that lower airfares led some people to substitute flying for driving to their vacation destinations. This reduced the demand for car travel and led to reduced traffic fatalities, since air travel is safer per passenger mile than car travel. Using the logic suggested by that study, suggest how each of the following events would affect the number of highway fatalities in any one year as well as how each of the following would affect the demand curve for driving to vacation destinations.An increase in the price of gasolineA large reduction in rental rates for passenger vansAn increase in airfaresOnce you have considered the scenarios above, research another good or service that has a substitute. Imagine three different scenarios that could affect the demand curve for that good or service. Follow the same procedure as above, explaining how each scenario would affect the demand for the good or service.Be sure to define demand and the determinants of demand in your response. Also address the question, how does a movement along the demand curve differ from a shift in the demand curve?

Macroeconomics focuses on the economy ________.on an individual levelas a wholeof the labor forceof only the standard of livingWhat does a aggregate supply curve do?Shows only how much goods can be produced.Measure how capital GDP affects real GDP.Measure how real GDP can be produced at various points.Measures the aggregate supply of the labor force solely.Which is true of aggregate demand?Aggregate demand can only decrease.Aggregate demand can only increase.Aggregate demand only increases when aggregate supply increases.Aggregate demand can both increase and decrease.When quantity supplied is the same as quantity demanded the price has reached ________.aggregate supplyaggregate demandequilibrium priceaggregate supply curveIf “aggregate” is used to describe either supply or demand then, ________aggregate cannot apply to supply but only demand.it is referring to the total value of either supply or demand for all goods and services from everyone in an economy.it is referring to the total value of only demand because aggregate does not apply to supply.it is referring to the total value of either supply or demand for all goods and services from corporations only.Aggregate demand curve measures the current GDP of an economy.TrueFalseIf consumers decided to spend less and save more, AD would shift ________.rightleftno changedisappearIf consumers decided to spend more and save less, AD would shift ________.right leftno changedisappearIf an economist wanted to give an accurate prediction of an economy, aggregate supply and aggregate demand can be used.TrueFalseWhich best describes the purpose of using frameworks in the study of economics?It provides a basic structure but not necessarily accurate predictions.It gives accurate predictions.Frameworks are not useful in the study of an economy.None of these