Dolly the sheep made headlines in 1997 because she was the first mammal cloned from the cell of another adult mammal. This technique may eventually allow farmers to clone whole herds of healthy animals. a . Explain what effect a successful sheep cloning
program could have on the market for lamb. b. Explain what effect a successful sheep cloning program could have on the markets for beef and chicken, assuming that cattle and chicken cannot be cloned.
a . This program (which increases the supply of lamb) would shift the supply curve for lamb to the right
(because of an improvement in technology). This increase in supply would lower the price of lamb and
increase the quantity traded.
b. To the extent that consumers consider lamb a substitute for beef or chicken, the demand for beef and
chicken will fall, leading to lower beef and chicken prices thus decreasing the quantity of beef and
chicken traded.
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The sheer number of corporations vastly outnumbers proprietorships in the United States
Indicate whether the statement is true or false
When marginal cost is less than average total cost,
a. marginal cost must be falling. b. average variable cost must be falling. c. average total cost is falling. d. average total cost is rising.