samantha has been tasked by her manager to determine a pricing approach that will grow unit volume and profitability of "out-her-wear" her brand of rugged outerwear geared to younger women. she wants to make a positive impression on her manager and is considering the option of implementing a variable cost pricing policy for the out-her-wear brand. she reasons that a variable cost pricing policy will provide the greatest incentive for consumers to purchase her brand, while making it difficult for competitors to respond. you are a pricing "guru" as a result of taking icore. in discussing the merits of samantha’s plan you want to make sure she knows that

answer; o anticipate where news will happen;

answer/// equals both average variable cost and average total cost at their respective minimums;

answer: in the short-run firms will respond by raising the price of turkey.

explanation: initially the long-run equilibrium is at a price of $5 per pound of turkey and a quantity of 50 million pounds per year. now, when webmd claims that a protein found in turkey will increase your expected lifespan by 4 years. the consumers demand for turkey will increase at every price shifting the demand curve to the right from d1 to d2. while, there will be no change in the supply curve in the short-run as it is not possible for producers to adjust supply so quickly. as a result the new equilibrium will occur at a higher price and a higher quantity of turkey.

thus, in the short run firms will respond by increasing the price of turkey, selling more quantity at a higher price and earning economic profits.