If Frost in Florida Reduces the Quantity of Vegetables Sold

question 17

Multiple Choice

If frost in Florida reduces the quantity of vegetables sold by 20 percent and increases their retail price by 30 percent, one can conclude that:

• A) the demand has shifted to the right along a perfectly inelastic supply curve.
• B) the demand has shifted to the right along a perfectly elastic supply curve.
• C) the supply of vegetables has shifted to the left along an elastic demand curve.
• D) the supply of vegetables has shifted to the left along an inelastic demand curve.

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