You notice that the price of orange juice at your local grocery store has increased. Which of the following statements is not a possible explanation for the rise in the price of orange juice?
A)Frosty weather destroys oranges causing the price of oranges to increase.
B)As a result of an increase in income, consumers wish to purchase more orange juice at every price level.
C)A recent scientific study is reported in the press that suggests that apple juice may be contaminated with pesticides.
D)Due to the bioengineering of orange trees, the domestic supply of oranges increases.

Question

You notice that the price of orange juice at your local grocery store has increased. Which of the following statements is not a possible explanation for the rise in the price of orange juice?
A)​Frosty weather destroys oranges causing the price of oranges to increase.
B)​As a result of an increase in income, consumers wish to purchase more orange juice at every price level.
C)​A recent scientific study is reported in the press that suggests that apple juice may be contaminated with pesticides.
D)​Due to the bioengineering of orange trees, the domestic supply of oranges increases.

Quizplus · Accepted Answer

An increase in the domestic supply of oranges due to bioengineering would likely lead to a decrease in the price of oranges and orange juice, not an increase.

You Notice That the Price of Orange Juice at Your