During 2005-2006 Europe Imported More Than $70 Million Worth of U.S

question 14

Multiple Choice

During 2005-2006 Europe imported more than $70 million worth of U.S. long-grain rice. In 2006, the European Union threatened to restrict imports of long-grain rice because traces of genetically modified rice were found mixed in to commercial supplies. What would NOT be an effect in the European rice market if U.S. imports were banned?

• A) There would be an increase in long-grain rice consumption.
• B) There would be an increase European in rice production.
• C) The price of long-grain rice would increase.
• D) The quantity of long-grain rice imports would decrease.

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