It is not allowed hand written. The following graph illustrates the market for almonds. It plots the monthly supply of almonds and the monthly demand for almonds. Suppose newgathering technology is invented, allowing growers to produce more crops using the same amount of resources.Show the effect this shock has on the market for almonds by shifting the demand curve, supply curve, or both.PRICE (Dollars per ton)302410126001224QUANTITY (Thousands of tons)DemandSupply48Total Revenue (Thousands of Dollars)DemandSupplySeveral growers are happy with this advancement in technology because now they can sell more crops, which they believe will lead to increases inrevenue. Using elasticities, you will be able to determine whether this price change will lead to a rise or fall in total revenue in this market.Using the midpoint method, the price elasticity of demand for almonds between the price levels of $15 and $9 per ton is meaning that betweenthese two points, demand is▼. Thus, you can conclude that the grower's claim is, because total revenue willdue to the technological improvement.Confirm your previous conclusion by calculating total revenue in the almond market before and after the technological improvement. Enter thesevalues in the following table.Before Technological Improvement After Technological Improvement

Equilibrium is defined as the balance of demand and supply in the market. Demand and supply affect…

The following graph illustrates the market for almonds. It plots the monthly supply of almonds and the monthly demand for almonds. Suppose new gathering technology is invented, allowing growers to produce more crops using the same amount of resources. Show the effect this shock has on the market for almonds by shifting the demand curve, supply curve, or both. 30

The following graph illustrates the market for almonds. It plots the monthly supply of almonds and the monthly demand for almonds. Suppose new gathering technology is invented, allowing growers to produce more crops using the same amount of resources. Show the effect this shock has on the market for almonds by shifting the demand curve, supply curve, or both. 30

Exploring Economics

8th Edition

ISBN:9781544336329

Author:Robert L. Sexton

Publisher:Robert L. Sexton

Chapter4: Demand, Supply, And Market Equilibrium

Section: Chapter Questions

Problem 25P

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