You will submit the supply, demand, and market equilibrium component of a microeconomic analysis paper. Thismilestone should be a 2–3-page paper structured as follows: Part I Milestone One should adhere to the following formatting requirements: 2–3 pages (not including cover page or appendix),double-spaced, using 12-point Times New Roman font and the most current guidelines for APA formatting.

First, it describes the price elasticity of supply or demand for your product or service.

Second, itexplains how two nonprice factors impact the demand of your chosen product or service.

Third, it explains how two nonprice factors impact the supply of yourchosen product or service.

Fourth, it defines the industry and the market equilibrium associated with the product or service.

Fifth, it predicts the effect ofchanges in supply and demand on the market equilibrium.

Finally, it describes the decisions related to supply and demand for the product or service that youwould make based on the predicted changes in supply and demand on the market equilibrium.

Specifically, the following critical elements must be addressed:

I. Supply, Demand, and Market Equilibrium

a) Determine the extent to which the supply and demand of your chosen product or service are sensitive to changes in price by applying theconcept of elasticity. In other words, what is the price elasticity of supply or demand for your product or service?

b) Select two nonprice factors that impact the demand of your chosen product or service. Justify your selections.

c) Select two nonprice factors that impact the supply of your chosen product or service. Justify your selections.

d) Define the industry and the market equilibrium associated with the product or service.

e) Predict the effect of changes in supply and demand on the market equilibrium.

f) Based on the predicted changes, what decisions related to supply and demand would you make for your product or service?