suppose that the only way to reach a certain restaurant is by train, and the train fare is $3. One day a law is passed requiring the restaurant owner to provide free transportation to his restaurantm which he does by making an arrangement with the railroad whereby his customers ride free and he pays the $3 fare per customer directly to the railroad.;a) what does do to the supply curve for restaurant meals?;b) what does this do to the demand curve for restaurant meals?;c) compare the price customers pay for meals before and after the law passed. same thing for seller.;d) Who benefit by this law? under what circumstances would the restaurant voluntarily provide free transportation? use a supply and demand graph to justify your answer.
Paper#25678 | Written in 18-Jul-2015Price : $22