Kim Wexler is an accomplished lawyer.  She charges $250 an h…

Kim Wexler is an accomplished lawyer.  She charges $250 an hour for legal work.  She’s also an amateur plumber.  If a clogged sink would take her an hour to unclog, and the local plumber would charge her $200 to unclog it, then she should hire the plumber because the opportunity cost of doing it herself is more.

The cost of steel and aluminum has risen due to tariffs, inc…

The cost of steel and aluminum has risen due to tariffs, increasing the cost of producing tin cans for soup.  Graph the supply and demand in the market for cans of soup, showing the equilibrium before the cost increase and the equilibrium after the cost increase.  As before, upload your drawing in the space below or e-mail it to me.  Describe what happens to the equilibrium price and quantity of soup as a result of the cost increase.