Assume the market for organically-grown produce is perfectly competitive.All else being equal,as farmers find it less profitable to produce and sell organic produce in this market,
A) the demand curve will shift to the left and the equilibrium price will decrease.
B) the supply curve will shift to the left and the equilibrium price will increase.
C) the supply curve will shift to the right, the demand curve will shift to the left, and the equilibrium price will decrease.
D) the supply curve will shift to the left, the demand curve will shift to the left, and the equilibrium price will increase.
Correct Answer:
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