guzmanaguzmana
Answered

Welcome to Westonci.ca, your one-stop destination for finding answers to all your questions. Join our expert community now! Our platform offers a seamless experience for finding reliable answers from a network of knowledgeable professionals. Discover detailed answers to your questions from a wide network of experts on our comprehensive Q&A platform.

Potato crops in Idaho have been damaged by plant disease, causing a scarcity of potatoes in the market. What is the most likely effect of the scarcity?


A. The price of potatoes will decrease.


B. The demand for potatoes will increase.


C. The demand for potatoes will decrease.


D. The price of potatoes will increase.

Sagot :

Ajohnson2199
Most likely the answer will be D.
palebadgworthy

The correct answer is D.

When a market is in equilibrium and suddenly the product (potatoes) becomes scarcer, this means that the amount supplied has decreased and therefore the producer cannot serve the same level of demand as before. Therefore, the price will increase until the quantity demanded equals the new amount supplied, as less consumers will be willing to purchase the product as prices become higher.

Thanks for using our platform. We're always here to provide accurate and up-to-date answers to all your queries. We hope this was helpful. Please come back whenever you need more information or answers to your queries. Find reliable answers at Westonci.ca. Visit us again for the latest updates and expert advice.