How Does Improved Technology in the Chicken Industry Affect Market Equilibrium?

  • Thread starter Thread starter davie08
  • Start date Start date
Join the discussion
Registration is free. Ask a follow-up in this thread, or start your own.
Sign up Log in
3 replies · 5K views
davie08
Messages
111
Reaction score
0

Homework Statement



Refer to the above graph, which shows the market for chicken where D1 and D2 represent different demand curves. A change from E1 to E2 is most likely to result from:
Answer


a)a decrease in consumer incomes.


b)an increase in the wages of chicken workers.


c)an increase in the price of beef products.


d)improved technology in the chicken industry.



The Attempt at a Solution




the graph is in the attachment.

I'm not sure what this would be but I guess it couldn't be c since on the graph it shows that the price is lowered.
 

Attachments

  • question 4.png
    question 4.png
    4 KB · Views: 623

Discussion

Physics news on Phys.org
Shifts in the demand curve come from all things that aren't the price of chicken.

Which of those four things would decrease consumer demand of chicken?
 
so it would be a decrease in consumer incomes.
 
That would be my guess.