Question: help with a, b, and c - please 2. Consider the short-run market equilibrium for straks (which are not Giffen goods). Assume there is a

 help with a, b, and c - please 2. Consider the

help with a, b, and c - please

2. Consider the short-run market equilibrium for straks (which are not Giffen goods). Assume there is a shift in just one of the curves (market supply or market demand) that results in a new (short-run) equilibrium price that is double the original equilibrium price. Each question below is independent (i.e. not reliant on previous sub-sections). (a) Suppose you know that the price change is due to a shift in the demand curve. Show that the production of straks cannot have constant marginal cost (same marginal cost for all firms). (b) Suppose producer revenues more than double as a result of this change. Can this have happen due to a shift in either demand or supply curves? (c) Is it possible for producer revenues to not change? If so, how? If not, why

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