The market for beef is in long-run equilibrium at a price of $3.25 per pound. the announcement that mad cow disease has been discovered in the united states reduces the demand for beef sharply, and the price falls to $2.00/pound. if the long-run supply curve is horizontal, then when long-run equilibrium is reestablished the price will be:
a. $5.25 per pound.
b. $3.25 per pound.
c. $1.25 per pound.
d. $2 per pound.
e. greater than $2 per pound, but less than $3.25 per pound.