Figure 3-6 -Which of the Following Is Evidence of a Shortage of a Shortage

question 116

Multiple Choice

Figure 3-6
-Which of the following is evidence of a shortage of walnuts?

• A) Firms lower the price of walnuts.
• B) The price of cashews is lowered in order to make up for the walnut shortage.
• C) The equilibrium price of walnuts falls due to a decrease in demand.
• D) The quantity demanded of walnuts is greater than the quantity supplied.

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Definitions:

Animal Products

Goods derived from the bodies of animals, including meat, dairy, wool, and leather.

Nitrogen-Restoring

A process or practice that helps replenish nitrogen in the soil, often through natural means like the planting of leguminous plants or through technological interventions.

Intercropping

An agricultural practice that involves growing two or more crops in proximity for purposes such as pest control, pollination, and to increase productivity.

Alfalfa

A leguminous plant with clover-like leaves and bluish flowers, widely grown as forage for cattle and as a nitrogen-fixing crop, enriching soil fertility.