Suppose that the tritezene industry is initially operating in long-run equilibrium at a price level of $6 per pound of tritezene and quantity of 324 million pounds per year.
Suppose a top medical journal publishes research that animal-alternative protein sources such as tritezene could increase your expected lifespan by 4 years. The publication is expected to cause consumers to demand tritezene at every price. In the short run, firms will respond by Shift the demand curve, the supply curve, or both on the following graph to illustrate these short-run effects of the publication. Shift the demand curve, the supply curve, or both on the following graph to illustrate both the short-run effects of the publication and the new longrun equilibrium after firms and consumers finish adjusting to the news. The new equilibrium price and quantity suggest that the shape of the long-run supply curve in this industry is run.
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