An increase in the price of wheat will lead to:

Question

Quizplus · Accepted Answer

An increase in the price of wheat means that consumers will need to pay more to buy the same amount of wheat. This will likely lead to a decrease in the quantity demanded of wheat, as consumers may choose to buy less wheat or seek out cheaper alternatives. However, it will not affect the overall supply of wheat, as that is determined by factors such as the amount of land devoted to growing wheat and weather conditions affecting crop yields. Demand may stay the same or increase if there are no substitutes for wheat and people need it for their daily needs.

An Increase in the Price of Wheat Will Lead To