Answer to Question #210180 in Microeconomics for Kegow

Question

With the aid of graphs illustrate the effect of a change in demand for chicken by restaurant to a chicken farmer

Answer 1

Graphically, a change in demand of the chicken by the restaurant to the farmer will put equilibrium price of the chicken and output to change in the same direction. Meaning when supply of the chicken by the farmer to the restaurant shifts rightwards, it results to a fall in equilibrium price hence a rise in equilibrium quantity and vise versa when it shifts to the left.( Kindly the graphs have adamantly refused to appear from my side despite numerous attempts to make them appear )