What will happen to the number of steakhouses in town in the long run? 1 answer below »


The primeval sushi restaurant opens in town. Initially vulgar are very cowardly encircling eating small portions of raw fish, as this is a town where vast portions of grilled fruit enjoy regularly been general. Soon, nevertheless, an forcible heartiness recital warns consumers opposing grilled fruit and suggests that they increase their decrement of fish, chiefly raw fish. The sushi restaurant becomes very general and its emolument increases.

a. What achieve betide to the short-run emolument of the sushi restaurant? What achieve betide to the estimate of sushi restaurants in town in the desire run? Achieve the primeval sushi restaurant be serviceserviceable to stay its short-run emolument aggravate the desire run? Explain your rejoinders.

b. Local steakhouses admit from the generality of sushi and rouse incurring losses. What achieve betide to the estimate of steakhouses in town in the desire run? Explain your rejoinder.