State how fionas farm should adjust the amount

Assignment Help Microeconomics

Reference no: EM133343888

Overview

Consider that the market for frozen beef patties is perfectly competitive, with hundreds of suppliers across the country. Currently the market is in equilibrum, and Fiona's Farm is one of the many suppliers producing frozen beef patties that are sold in stores across the country.

Questions

For each of the following events, consider the market for frozen beef patties and how Fiona's Farm should respond in both the short run and long run. That is, for each event:

1. state how Fiona's Farm should adjust the amount of frozen beef patties produced (quantity) in the short run and in the long run.

2. state how profits at Fiona's Farms are affected in the short run, and in the long run.

Treat each event separately.

Event 1: An increase in publicity about the health benefits of vegetarian and vegan food reduces the number of beef patties the average person consumes by 20% permanently.

Event 2: In an attempt to reduce the incidence of high cholestoral and heart disease, the legislature of the state in which Fiona's Farm operates imposes a tax equal to 25% of the market price.

Reference no: EM133343888

Questions Cloud

How can you negotiate a participant that tends to add more : Is it possible to perform a truly and totally pure structured interview? For example, how can you negotiate a participant that tends to add more than

What nutrient other than calories : What nutrient other than calories do you think should be posted on menus and why would posting this nutrient be beneficial?

Discuss two different non-price competition strategies : Discuss two different non-price competition strategies they have used in the past 2 years as they engage in repeated games. Give specific

Describe problems arise as a result of a zombie apocalypse : Imagine that the Zombie Apocalypse is upon us. The walking dead are bearing down on humanity, and everyone in the world is working to stop them.

State how fionas farm should adjust the amount : State how Fionas Farm should adjust the amount of frozen beef patties produced (quantity) in the short run and in the long run

Diet progression and modifications : What is the rationale associated with diet progression and modifications

What type of trigger did susan suffer from : What were Susan's Symptoms prior to being admitted to the hospital? What were other factors based on the history that may have contributed?

Does the exchange economy model reflect something innate : Does the exchange economy model reflect something innate about human nature, or some- thing constructed by our society? eight hundred words

Research cultural significance : Review and research cultural significance, history of country/culture, nutritional adequacy of foods eaten, how food is connected,

User Account

All Pages