For each of the following events, describe the effect of the event on prices for one of these goods: food, housing, or oil. Make your best guess as to what might happen in the case of each event, and

For each of the following events, describe the effect of the event on prices for one of these goods: food, housing, or oil.

Make your best guess as to what might happen in the case of each event, and explain your reasoning for why the event might or might not affect prices for a particular good.

1.     A free-trade agreement between the United States and Mexico is enacted.

2.     A tariff on exotic fruit is doubled.