What happens to the market for corn if there is a drought that affects corn growers?...

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What happens to the market for corn if there is a drought that affects corn growers? Select one: O a. A rightward shift in supply, a decrease in price, and an increase in quantity O b. A leftward shift in supply, an increase in price, and a decrease in quantity O c. A decrease in supply, an increase in demand, and an increase in price O d. A decrease in supply, a decrease in demand, and a decrease in price

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Answer 1

Answer #1

Correct option is (b).

A drought decreases the production of corn, which decreases its market supply, shifting supply curve to left. This increases price and decreases quantity.

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Answer 2

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