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Short-run implications of development

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A graph would be extremely helpful as I don't understand this question.

Suppose five years from now that the ranching industry is in long-run equilibrium at 70 cents per pound.

Graphically illustrate what that would look like for the ranching industry using side-by-side industry and firm graphs.

Then, suppose a new hormone shot is developed at Texas A&M University that allows all ranchers to cut their feed costs by 27 percent if they use this shot. Graphically illustrate the short-run implications of this development in the ranching industry using a new set of side-by-side industry and firm graphs. Explain your answer.

Graphically illustrate the long-run implications of this development in the ranching industry using a new set of side-by-side industry and firm graphs. Explain your answer.

Reference no: EM131089448

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