Which of the following could explain a fall over time in the price of the depletable resource bauxite?
A)The productivity of bauxite mines fell.
B)New deposits of bauxite were discovered.
C)Demand for bauxite increased over time.
D)The cost of extraction increased.

Question

Quizplus · Accepted Answer

The discovery of new deposits of bauxite would increase the supply of the resource and lead to a fall in price over time, assuming the demand for the resource remains constant or increases at a slower pace. The other answer choices would typically lead to an increase in price rather than a decrease.

Which of the Following Could Explain a Fall Over Time