Task Answer the following questions ensuring that you apply economic principles or theory wherever possible to support your decisions. Communicate your ideas with correct grammar, spelling and writing style and support your answers with diagrams as necessary. Question 1 Choose a specific commodity, good or service to analyse its demand and supply determinants. Identify at least three specific non-price demand determinants for this commodity, good or service. Identify at least three specific non-price supply determinants for this commodity, good or service. The identified demand and supply determinants must be based on research evidence, citing and referencing appropriate sources. Explain what happens to the price and quantity transacted for the market for this commodity, good or service if these demand and supply determinants change. Use diagrams to illustrate your answer. Question 2 The Australian Energy Regulator sets price ‘caps’ for default market offer (DMO) electricity prices for some energy consumers. Describe at what level this DMO price is set. Examine the potential consequences of the imposition of this price ceiling for energy markets using the demand and supply framework. Use diagrams to illustrate your answer. Your answer must be based on research evidence, citing and referencing appropriate source
