Agriculture Marketing: Suppose you observe that the consumption of apples increased sharply last year but the...
Agriculture Marketing:
Suppose you observe that the consumption of apples increased sharply last year but the total consumer expenditures on apples did not change. What you think that there had been a supply shift, a demand shift, or both.
Homework Answers
There is a both supply and demand shift.
Demand shift happened as the consumption of apples increased sharply and as the consumer expenditure remains constant hence supply was able to compensate the demand shift.
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