Given the market for corn in equilibrium

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Reference no: EM13898305

Given the market for corn in equilibrium, show the effect on price and quantity of the following simultaneous occurrences:

(1) Good weather results in a 10% increase in the harvest of corn.

(2) A medical report is published that concludes that consumption of corn will reduce your chances of getting colds each winter.

(Note: Two separate graphs are needed to fully determine what happens to equilibrium price and quantity when both demand and supply shift at the same time. Make sure you identify the result for each graph, and the overall result for equilibrium price and quantity.

Reference no: EM13898305

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