If we observe that the price is rising in the sugar market,it could be due to

Question

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If the price of sugar is rising, it indicates that there is a larger demand for sugar than the available supply. This means that buyers are willing to pay a higher price to obtain the limited amount of sugar that is available. Thus, it is most likely due to excess demand for sugar (option B). Option A and C are incorrect, because both indicate an increase in the supply of sugar. Option D is also incorrect, because it is the opposite of what is happening; a decrease in demand would lead to lower prices, not rising prices.

If We Observe That the Price Is Rising in the Sugar