Suppose that an early frost damages the Florida orange crop. As a result, the price of California oranges increases. Ceteris paribus, which one of the following statements best explains this situation?
A) The supply of Florida oranges decreased, causing the supply of California oranges to increase, which resulted in a higher price.
B) The supply of Florida oranges decreased, causing the supply of California oranges to decrease, which resulted in a higher price.
C) The supply of Florida oranges decreased, causing their price to increase, and thus causing the demand for California oranges to increase.
D) The demand for Florida oranges fell because of the freeze, and this led to a higher demand for California oranges.
Correct Answer:
Verified
Q100: In the automobile industry, workers have just
Q101: What will happen when there is a
Q102: People consume more fresh fruit in the
Q103: The supply of eggs comes from chickens.
Q104: A newspaper headline asserts: "Falling Demand Pushes
Q106: Suppose you observe that the price of
Q107: A decrease in demand and a decrease
Q108: A decrease in demand and an increase
Q109: List prices on new cars do NOT
Q110: The more flexible prices are, the
A) greater
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents