Research the elasticity of beef and eggs in regards to price changes. How do supply, demand, and price controls interact to affect equilibrium price of eggs? Why do customers have a more elastic buying response to beef than to eggs?© BrainMass Inc. brainmass.com October 10, 2019, 2:49 am ad1c9bdddf
The point where supply and demand for beef and eggs respectively interact determines the equilibrium prices of beef and eggs. However, in case of eggs if there is a price control then the prices of eggs are held at a lower price than the equilibrium price. The result of the price controls is a shortage of eggs in the market. ...