One way the government of Alaska could prevent an inefficiently large production of crab fishing would be to: subsidize fishermen to encourage competition. offer tax breaks for more efficient boats. sell exclusive licenses for the right to fish. allow competition from foreign fishermen.

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One of the growers is excited by this advancement because now he can sell more crops, which he believes will increase revenue in this market. as an economics student, you can use elasticities to determine whether this change in price will lead to an increase or decrease in total revenue in this market. using the midpoint method, the price elasticity of demand for soybeans between the prices of $5 and $4 per bushel is , which means demand is between these two points. therefore, you would tell the grower that his claim is because total revenue will as a result of the technological advancement.