A frozen food manufacturer can produce either pizzas or calzones. As the result of an increase in the price of calzones, the firm produces more calzones and fewer pizzas. An economist would explain this by saying
A) the supply of calzones increased and the supply of pizzas decreased.
B) there has been an increase in the quantity supplied of calzones and a decrease in the quantity supplied of pizzas.
C) there has been an increase in the quantity supplied of calzones and a decrease in the supply of pizza.
D) the supply of calzones increased and the quantity supplied of pizza decreased.
Correct Answer:
Verified
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