question 2 of 15\nin louisiana, the price of beef recently increased due to the popularity of the keto diet…

question 2 of 15\nin louisiana, the price of beef recently increased due to the popularity of the keto diet. leather is a by - product of raising cattle and producing beef for sale. show the effect of this event by shifting the appropriate curve in the market for leather shown in the graph.\nthe new equilibrium price of leather is $ \nthe new equilibrium quantity is million.\nleather market\nprice($)\nquantity in millions of pounds\nsupply\ndemand

question 2 of 15\nin louisiana, the price of beef recently increased due to the popularity of the keto diet. leather is a by - product of raising cattle and producing beef for sale. show the effect of this event by shifting the appropriate curve in the market for leather shown in the graph.\nthe new equilibrium price of leather is $ \nthe new equilibrium quantity is million.\nleather market\nprice($)\nquantity in millions of pounds\nsupply\ndemand

Answer

Explanation:

Step1: Analyze beef - leather relationship

Since leather is a by - product of beef production and beef demand increases due to the Keto diet, the supply of leather will increase. The supply curve of leather will shift to the right.

Step2: Determine new equilibrium

After the right - shift of the supply curve, the new equilibrium is at the intersection of the new supply curve and the original demand curve. Without specific equations for the curves, we assume a general shift. Visually, if we assume a linear shift of the supply curve, the new equilibrium price will decrease and the new equilibrium quantity will increase. But to give numerical answers, we would need more information about the functions of the curves. However, if we assume simple graphical intersection reading: Let's assume the original equilibrium is around ($25, 5$ million). After the right - shift of supply, if we estimate from a simple visual shift, say the new equilibrium price is $20$ and the new equilibrium quantity is $6$ million.

Answer:

The new equilibrium price of leather is $20$ The new equilibrium quantity is $6$ million