What Will Happen to the Equilibrium Price and Quantity of Coffee

question 113

Multiple Choice

What will happen to the equilibrium price and quantity of coffee if it is discovered to help prevent colds and, at the same time, Brazil and Vietnam emerge in the global market as massive producers of coffee?

• A)The equilibrium price will rise and the effect on the equilibrium quantity is uncertain.
• B)The equilibrium price will fall and the effect on the equilibrium quantity is uncertain.
• C)The equilibrium quantity will increase and the effect on the equilibrium price is uncertain.
• D)The equilibrium quantity will increase and the equilibrium price will remain unchanged.
• E)The equilibrium quantity will decrease and the equilibrium price will rise.

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Definitions:

Emmetropia

The condition of the eye where the optical system is perfectly matched to the length of the eyeball, resulting in sharp vision at all distances.

Visual Acuity

The clarity or sharpness of vision, often measured by the ability to discern letters or numbers at a standardized distance on an eye chart.

Conjunctivitis

An inflammation or infection of the outer membrane of the eyeball and the inner eyelid, also known as pink eye.

Chalazion

A benign, painless bump or nodule inside the upper or lower eyelid caused by inflammation of a meibomian gland.