draw this, you will want to graph the long-run average cost curve and then overlay some hypothetical short-run average total cost curves for each farm class. Note: Figures 5-13 and 5-14 in Baye and Prince illustrate how this graph should look. 5. Based on the data in Table 4, what shape does the long-run average cost curve have for the dairy industry? Explain how you reached that conclusion. What does the data indicate about the scale economies of dairy farming? Would you expect that trend to continue if farms were to become large enough (i.e., much bigger than the ones in the table)? 6. Based on this analysis of costs, would you expect that dairy farms should have increased or decreased in size since 1964? Is this conclusion supported by what you know about trends in farm size? (If you have time, you may want to explore internet sources for current distribution of farms by size.)