Briefly explain the use of graphs as a way to represent economic relationships. What is an inverse relationship? How does it graph? What is a direct relationship? How does it graph? Graph and explain the relationships you would expect to find between ( a ) the number of inches of rainfall per month and the sale of umbrellas, ( b) the amount of tuition and the level of enrolment at a university, and (c ) the popularity of an entertainer and the price of her concert tickets.In each case cite and explain how variables other than those specifically mentioned might upset the expected relationship. Is your graph in previous part b consistent with the fact that, historically, enrollments and tuition have both increased? If not, explain any difference.

Graph has a significant importance in economics.Economic theory identifies many economic variables and tries to establish the relationship among them. Graph help to illustate such relation and thus play a key role here. While graph is used to represent the economic realtionships between two economic variables, the independent variable is measured in the X axis and the dependent variable is measured in Y axis. Inverse relationship implies when two variable move opposite directions. For example there is an inverse relation between the price of jenas and the quantity demanded of Jeans.The inverse relation can be graphed as follows: Direct relation represents the situation when the two variables move in the same direction. For example, an incresae in income leads to an increase in the quantity demanded for Jeans. The direct relation can be shown as follows: a) There is a direct relationship between the rainfall per month and the sale of umbrellas. An…

ae in the rainfall per month woiuld lead to increase the sale of umbrellas.The graph is shown below: b)The amount of tution and the number of enrolement at a University , all else equal, has an inverse relation. An increase in tution fee will lead to reduce the number of enrolement in an University. This is the expected relationship if all other things remain the same. The graph can be shown as follows: c) There is a direct relation between the popularity of an entertainer and the price of concert tickets.As the popularity of the entertainer increases , it also incraeses the ticket price of herconcert. The graph can be shown as folllows: