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Suppose that there is an innovation in the chicken raising industry that greatly reduces the cost of raising hens which are used to lay eggs.

Suppose that there is an innovation in the chicken raising industry that greatly reduces the cost of raising hens which are used to lay eggs. (a) Will this affect the demand for eggs or the supply of eggs? (b) Which way does the affected curve shift (left or right) and what happens to the equilibrium price and quantity of eggs sold? (c) If bacon and eggs are complements, explain what happens to the equilibrium price and quantity of bacon?

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