One possible effect of the increased reliance on cheap imported rice is the decrease in the demand for locally produced palay, ceteris paribus. If this happens, the demand for palay will shift to the left. Based on Figure 1, identify the TR, TR’ and ΔTR of the sellers at the farm evel

ENGR.ECONOMIC ANALYSIS
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Chapter1: Making Economics Decisions
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One possible effect of the increased reliance on cheap imported rice is the decrease in
the demand for locally produced palay, ceteris paribus. If this happens, the demand for
palay will shift to the left. Based on Figure 1, identify the TR, TR’ and ΔTR of the sellers
at the farm evel

Figure 1. Palay Market at the Farm Level
P
S
P
P'
0
b
D
D'
Q'Q
Figure 2. Rice Market at the Retail Level
P
P
P'
0
ad
Q'
S
S'
D
Transcribed Image Text:Figure 1. Palay Market at the Farm Level P S P P' 0 b D D' Q'Q Figure 2. Rice Market at the Retail Level P P P' 0 ad Q' S S' D
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