A major input into vanilla ice cream is cream.An increase in the price of cream will reduce the quantity of vanilla ice cream supplied,but it will not reduce the supply of vanilla ice cream.

Question

Quizplus · Accepted Answer

An increase in the price of cream, a major input into vanilla ice cream, will increase the production costs for manufacturers. This can lead to a decrease in the supply of vanilla ice cream, as producers may produce less at the same price levels or need higher prices to maintain previous production levels, reflecting a leftward shift in the supply curve.

A Major Input into Vanilla Ice Cream Is Cream