On March 11, 2020, the World Health Organization (WHO) declared COVID-19 to be a global pandemic. In that month, the demand for hand sanitizer increased and supply could not initially keep up, leading to price increases. Should include memorandum that includes figures to answer the following questions. Each figure should be described in the memorandum with a few sentences.

For the firms producing hand sanitizer, did their marginal costs change as they tried to produce more sanitizer? If so, how? Again, show this with a figure.

For firms entering the market to produce hand sanitizer, assume these firms have little or no experience producing hand sanitizer. What are their costs to produce hand sanitizer as compared with existing firms? Discuss the initial price elasticity of supply in March 2020 (i.e., at the start of the pandemic), and then discuss how and why this elasticity changed as time elapsed (e.g., into the summer of 2020).