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Economics Eggs in a certain country are traded in a competitive market. They are [6] produced by domestic farmers and by farmers in a neighboring
Economics Eggs in a certain country are traded in a competitive market. They are [6] produced by domestic farmers and by farmers in a neighboring country. Suppose that the government bans imports of 99950 This question refers to the same egg market as in the question above. The [6] price elasticity of supply is (+1.4) for domestic farmers. Farmers in the neighboring country will always supply the same quantity independent of price, and this quantity is 5% of the market before the ban. The price elasticity of demand is (O.6). Estimate numerically by how much the price and quantity of eggs changes, following the ban of egg imports
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