Question

The market for milk is initially in equilibrium. milk producers engage in an advertising program to encourage milk drinking, which succeeds in shifting consumer tastes toward drinking milk. more milk producers enter the market. standard demand and supply analysis tells us that:

Answer 1

Standard demand and supply analysis tells us that "the equilibrium quantity of milk will rise, but we can't determine how the equilibrium price will be affected".

Supply and demand is maybe a standout among the most key ideas of financial aspects and it is the foundation of a market economy. Demand alludes to how much (amount) of an item or administration is wanted by purchasers. The amount Demanded is the measure of an item people will purchase at a specific value; the connection among cost and amount requested is known as the request relationship. Supply represents how much the market can offer. The amount provided alludes to the measure of a specific decent makers will supply while getting a specific cost.