If Good Weather Conditions Result in a Larger Than Normal

question 127

Multiple Choice

If good weather conditions result in a larger than normal crop of peaches, then the

• A) increase in the supply of peaches induces a greater demand for peaches, so that the equilibrium price rises and the equilibrium quantity increases.
• B) demand curve for peaches shifts leftward.
• C) equilibrium price of peaches falls, and the equilibrium quantity of peaches decreases.
• D) equilibrium price of peaches rises, and the equilibrium quantity of peaches increases.
• E) equilibrium price of peaches falls, and the equilibrium quantity of peaches increases.

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