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Aggregate Demand For Wheat
The demand for U.S. wheat is comprised of domestic demand and export demand.
The domestic demand for wheat can be given by the equation:
-QDD = 1700 - 107P
The export demand for wheat can be given by equation:
-QDE = 1544 - 176P
Domestic demand is price inelastic (-0.2), while export demand is quite more price elastic (-0.4).
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Long Run Average Cost (or LAC) -Constant Returns to Scale If the input is doubled, the output will double and average cost is constant at all the levels of output.
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Hi I need help with elasticity. I think the problem has already been posted to your site.
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