Mr Bean's Chicken Farm Scenario: Mr Bean, a farmer in the U.S, is thinking about his farm business after the Trade War 2019 between the US and China. He owns a small farm selling chicken which is one out of the two million chicken farms in the whole country. Chicken are identical and sold to domestic market and a large proportion to other countries like China.

(https://www.reuters.com/article/us-usa-agriculture-braun/column-china-lifting-u-s-poultry-ban-welcome-news-amid-trade-war-idUKKBN1XP12W) Answer the following questions after reading the scenario provided above.

1. The following is the recent data on his business:

Quantity (thousands of Kg) 0 1 2 3 4 5 6

Total Cost (thousands of USD) 5 10 11 14 18 24 31

Use the provided data, explain Mr Bean's profit-maximising price and output level, if the market price is $4 per kilo.

3. Mr Bean's business employs 20 people in his small town and hence it creates jobs for them. It creates more jobs for related businesses such as butcher shops. It also encourages surrounding farms to plant corns as chicken food supplied to Mr Bean's farm. If you are a member of the government council, explain the policies you might/might not adopt to support Mr Beans business.

4. Due to the trade war between China and the US, the price of chicken in the market is very volatile. With the help of a diagram and detailed explanation, explain how the MC curve associated with Mr Bean's business might act as the supply curve in the short run. Which point(s) on the curve is/are technically and economically efficient?

Just question 3&4, please