A Worldwide Hops (A Flowers Used in Brewing) Shortage Made

question 346

Multiple Choice

A worldwide hops (a flowers used in brewing) shortage made stouts, ales and other specialty microbrews more pricy in 2008. A triple whammy of bad weather in Europe, an increase in the price of barley and a decrease in hops production in the U.S. led to a price increase of 20 percent for the most widely grown varieties, to 80 percent for specialty hops. What is the effect of this hops shortage on a microbrewery's cost curves?

• A) Short run fixed costs would increase.
• B) Short run total costs would decrease.
• C) Short run average variable costs would decrease.
• D) Short run variable costs would increase.

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The assistance and resources provided by an organization to its members, including emotional backing, informational guidance, and material resources to foster a supportive work environment.

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The way in which a company, institution, or group is arranged to achieve its goals, including the rules and roles that govern it.

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