Market for restaurants is perfectly competitive

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Reference no: EM131391946

You are the manager of a restaurant in the Seattle area. As you understand it. the market for restaurants (specifically, for your type of restaurant) is perfectly competitive. It is announced that the Seattle Supersonics, the beloved basketball franchise, shall be returning to the Seattle area for the beginning of the 2016-2017 season. You know that this will increase the market demand for restaurants. Using a figure, explain what will happen in both the short run and the long run. Furthermore, if you were also the owner of this restaurant, how could you take advantage of the situation?

Reference no: EM131391946

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