Consider a perfectly competitive market for wheat in Chicago. There are 120 firms in the industry,...

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Consider a perfectly competitive market for wheat in Chicago. There are 120 firms in the industry, each of which has the cost curves shown on the following graph: COST (Cents per bushel) 100 90 80 70 60 50 40 30 20 10 O 0 5 10 ATC AVC + 15 20 25 30 35 OUTPUT (Thousands of bushels) 40 MC 45 50 ? Use the orange points (square symbol) to plot the short-run industry supply curve for the wheat industry. Specifically, place an orange point at the lowest point of the supply curve and another orange point at the highest point of the supply curve. (Note: You can disregard the portion of the supply curve that corresponds to prices where there is no output, since this is the industry supply curve. Plot your points in the order in which you would like them connected. Line segments will connect the points automatically.) Then, place the black point (plus symbol) on the graph to indicate the short-run equilibrium price and quantity in this market. (Note: Dashed drop lines will automatically extend to both axes.) PRICE (Cents per bushel) 100 90 80 70 60 50 40 30 20 10 0 Demand 0 600 1200 1800 2400 3000 3600 4200 4800 5400 6000 QUANTITY (Thousands of bushels) At the current short-run market price, firms will given the current market price. Supply Curve + Equilibrium in the short run. In the long run, the market Consider a perfectly competitive market for wheat in Chicago. There are 120 firms in the industry, each of which has the cost curves shown on the following graph: COST (Cents per bushel) 100 90 80 70 60 50 40 30 20 10 O 0 5 10 ATC AVC + 15 20 25 30 35 OUTPUT (Thousands of bushels) 40 MC 45 50 ? Use the orange points (square symbol) to plot the short-run industry supply curve for the wheat industry. Specifically, place an orange point at the lowest point of the supply curve and another orange point at the highest point of the supply curve. (Note: You can disregard the portion of the supply curve that corresponds to prices where there is no output, since this is the industry supply curve. Plot your points in the order in which you would like them connected. Line segments will connect the points automatically.) Then, place the black point (plus symbol) on the graph to indicate the short-run equilibrium price and quantity in this market. (Note: Dashed drop lines will automatically extend to both axes.) PRICE (Cents per bushel) 100 90 80 70 60 50 40 30 20 10 0 Demand 0 600 1200 1800 2400 3000 3600 4200 4800 5400 6000 QUANTITY (Thousands of bushels) At the current short-run market price, firms will given the current market price. Supply Curve + Equilibrium in the short run. In the long run, the market