Forest fires in the Pacific Northwest of the United States have destroyed thousands of fir trees that are used in making lumber. What change can be expected in the supply of lumber in that region of the country?

Question

Quizplus · Accepted Answer

The destruction of thousands of fir trees, which are used in making lumber, would decrease the available resources for lumber production. This decrease in resources would lead to a decrease in the supply of lumber, which is represented by a shift to the left of the supply curve.

Forest Fires in the Pacific Northwest of the United States