8. Short-run and long-run effects of a shift in demand Suppose that the shrimp industry is in long-run equilibrium at a price of $5 per pound of shrimp and a quantity of 50 million pounds per year. Suppose that WebMD claims that a protein found in shrimp will increase your expected lifespan by 2 years. WebMD's claim will cause consumers to demand by Shift the demand curve, the supply curve, or both on the following graph to illustrate these short-run effects of WebMD's claim. PRICE (Dollars per pound) 10 9 8 2 0 Supply Demand 010 20 30 40 50 60 70 QUANTITY (Millions of pounds) 80 shrimp at every price. In the short run, firms will respond 90 100 Demand Supply ?

8. Short-run and long-run effects of a shift in demand Suppose that the shrimp industry is in long-run equilibrium at a price of $5 per pound of shrimp and a quantity of 50 million pounds per year. Suppose that WebMD claims that a protein found in shrimp will increase your expected lifespan by 2 years. WebMD's claim will cause consumers to demand by Shift the demand curve, the supply curve, or both on the following graph to illustrate these short-run effects of WebMD's claim. PRICE (Dollars per pound) 10 9 8 2 0 Supply Demand 010 20 30 40 50 60 70 QUANTITY (Millions of pounds) 80 shrimp at every price. In the short run, firms will respond 90 100 Demand Supply ?

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Have to pick what will happen in each scenario from the list
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