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Using general equilibrium​ analysis, and taking into account feedback​ effects, analyze the​ following: The likely effects of outbreaks of disease on chicken farms on the markets for chicken and pork. The outbreak of disease on chicken farms will A. increase the demand for​ chickens, raising the price of​ chicken, which will increase the demand for​ pork, a​ substitute, which will then increase the demand for​ chicken, further raising the price of chicken. B. decrease the supply of​ chickens, raising the price of​ chicken, which will decrease the demand for​ pork, a​ complement, which will then increase the demand for​ chicken, further raising chicken prices. C. decrease the supply of​ chickens, raising the price of​ chicken, which will increase the demand for​ pork, a​ complement, which will then increase the demand for​ chicken, further raising chicken prices. D. decrease the supply of​ chickens, raising the price of​ chicken, which will increase the demand for​ pork, a​ substitute, which will then decrease the demand for​ chicken, lowering chicken prices. E. decrease the supply of​ chickens, raising the price of​ chicken, which will increase the demand for​ pork, a​ substitute, which will then increase the demand for​ chicken, further raising chicken prices.

User Bonlenfum
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2 Answers

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Answer: Decrease or chicken

Step-by-step explanation:

User Haemse
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Decrease the supply of​ chickens, raising the price of​ chicken, which will increase the demand for​ pork, a​ substitute, which will then increase the demand for​ chicken, further raising chicken prices.

Step-by-step explanation:

General equilibrium theory, or Walrasian general equilibrium, attempts to explain the functioning of the macro economy as a whole, rather than as collections of individual market phenomena.

The theory of balance assumes the economy to be an interdependent social network which aims to show that all free markets inevitably push towards the overall balance.

General balancing evaluates the economy in the long term instead of examining the independent markets as a study of partial equilibrium.

Request and demand are offset or equivalent in general equilibrium.

User JFM
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