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You grow and sell wheat on the Canadian and international markets. a. In your experience, the demand curve for wheat is relatively elastic. The supply
You grow and sell wheat on the Canadian and international markets.
a. In your experience, the demand curve for wheat is relatively elastic. The supply curve is relatively inelastic. Plot these curves and identify the market equilibrium.
b. Rice, a substitute grain in many regions, has become cheaper to produce due to a new GMO variety. Plot how the market for wheat would change and how the equilibrium would change. (3 points)
c. Will you provide more wheat to the market, if you can? Why or why not?
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