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Explain the short run effect of declining demand

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Reference no: EM131962010

Since the peak in 1976, per capita beef consumption in the United States has fallen by almost 30 per cent. Assuming that beef producers operate in a perfectly competitive market and face a constant cost industry:

(a) Using diagrams, explain the short run effect of declining demand for beef for a typical farm and for the market.

(b) Using diagrams, explain the long run effect of declining demand for beef for a typical farm and for the market.

Reference no: EM131962010

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