In 2016, Canadian wheat and barley crops produced more grain than they usually do.In the market for grains,
A)the supply curve shifted to the right, resulting in an decrease in the equilibrium price.
B)the supply curve shifted to the left, resulting in an increase in the equilibrium price.
C)the demand curve shifted to the right, resulting in an increase in the equilibrium price.
D)the demand curve shifted to the left, resulting in a decrease in the equilibrium price.

Question

Quizplus · Accepted Answer

An increase in production due to climate conditions, technology, or other factors will result in a shift in the supply curve to the right. This means that there is more supply available at every price level, and as a result, the equilibrium price will decrease.

In 2016, Canadian Wheat and Barley Crops Produced More Grain