Using supply and demand analysis explain why improvements


Using supply and demand analysis, explain why improvements in farm technology may not necessarily be good for the individual farmers. Assume that the individual farmers are selling a crop that has few substitutes, thereby resulting in fairly inelastic demand. Use a clearly labelled diagram; you can also use hypothetical prices and quantities to make your response clearer. To accompany your diagram, write some sentences explaining what is occurring.

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Microeconomics: Using supply and demand analysis explain why improvements
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