Suppose that the chicken industry is in long-run equilibrium at a price of $5 per pound of chicken and a quantity of 50 million pounds per year. Suppose the Surgeon General issues a report saying that eating chicken is bad for your health. The Surgeon General's report will cause consumers to demand * chicken at every price. In the short run, firms will respond by less Shift the demand curve, the supply curve, or both on the follow more oh to illustrate these short-run effects of the Surgeon General's report. 10 Supply Demand 7 Supply PRICE (Dollars per pound) Demand 0 10 20 30 40 50 60 70 80 90 100 QUANTITY (Millions of pounds)Suppose that the chicken industry is in long-run equilibrium at a price of $5 per pound of chicken and a quantity of 50 million pounds per year. Suppose the Surgeon General issues a report saying that eating chicken is bad for your health. The Surgeon General's report will cause consumers to demand * chicken at every price. In the short run, firms will respond by exiting the industry japh to illustrate these short-run effects of the Surgeon General's report. producing more chicken and earning positive profit producing the same amount of chicken and running at a loss producing less chicken and running at a loss entering the industry O producing the same amount of chicken and earning positive profit Demand 7 6 Supply PRICE (Dollars per pound) 3 Demand 0 10 20 30 40 50 60 70 80 90 100 QUANTITY (Millions of pounds)Shift the demand curve, the supply curve, or both on the following graph to illustrate these short-run effects of the Surgeon General's report. (? 10 O Supply Demand co Supply PRICE (Dollars per pound) Demand N 10 20 30 40 50 80 70 80 90 100 QUANTITY (Millions of pounds) In the long run, some firms will respond by until exiting the industry Shift the demand curve, the supply curve, or producing less chicken and running at a loss it-run effects of the Surgeon General's report and the new long-run equilibrium after firms producing more chicken and earning positive profit entering the industry producing less chicken and earning positive profit producing more chicken and running at a lossShift the demand curve, the supply curve, or both on the following graph to illustrate these short-run effects of the Surgeon General's report. 10 O Supply Demand co Supply PRICE (Dollars per pound) Demand N 0 10 20 30 40 50 60 80 90 100 QUANTITY (Millions of pounds) In the long run, some firms will respond by until consumer demand returns to its original level g graph to illustrate both the short-run effects of the Surgeon General's report new technologies are discovered that lower costs sh adjusting to the news. chicken populations grow large enough to support more firms each firm in the industry is once again earning zero profitIn the long run, some firms will respond by until Shift the demand curve, the supply curve, or both on the following graph to illustrate both the short-run effects of the Surgeon General's report and the new long-run equilibrium after firms and consumers finish adjusting to the news. 10 O Supply Demand Co Supply PRICE (Dollars per pound) w Demand N horizontal 0 upward sloping 10 20 30 40 50 60 70 30 90 100 QUANTITY (Millions of pounds) vertical downward sloping The new equilibrium price and quantity suggest that the shape of the long-run supply curve in this industry is in the long run