When bad weather in India destroys the crop harvest, does this sound like a fall in the total "supply" of crops or a fall in people's "demand" for crops?
a. fall in supply
b. fall in demand
c. fall in either supply or demand
d. fall in both supply and demand

Answers

Answer 1

When bad weather in India destroys the crop harvest, it sounds like a fall in the total "supply" of crops. The total amount of goods or services that are available to purchase at a specified price is known as supply.

It all depends on the availability of resources and the willingness of suppliers to create products or provide services at the specified price. When bad weather in India destroys the crop harvest, it indicates a decrease in the amount of supply since the farmers won't be able to produce as many crops as they normally would have. They might be forced to raise prices to make up for their lost income. This will cause a change in supply as the supply of crops will be less than the previous supply, causing an increase in price.

Therefore, a fall in the total supply of crops occurs when bad weather in India destroys the crop harvest.

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