Eah asked in Social ScienceEconomics · 7 months ago

If the price of coffee increases because demand increased, does the quantity of supply to increase or decrease?

5 Answers

Relevance
  • 6 months ago

    I think that the price of coffee varies with the quantity of supply

  • Oiy
    Lv 5
    6 months ago

    If the demand has shifted to the right( an increase), both price and quantity will go up. The supply will move along the curve to the right

  • Zirp
    Lv 7
    7 months ago

    According to economist-religious dogma, it should increase. In reality - like don said - this increase takes time...or maybe a harvest fails due to droughts or an epidemic, or maybe there is no additional land available...

  • 7 months ago

    Increase. Marketing, says strike while it’s hot. What’s better hot than coffee.

  • What do you think of the answers? You can sign in to give your opinion on the answer.
  • Greg
    Lv 7
    7 months ago

    Out of context (out of the blue) this is hard to answer. When I studied Economics, the answer would have been that the supply increases. This is because at a higher price more producers are able to produce at an acceptable profit.

    • don_sv_az
      Lv 7
      7 months agoReport

      Your answer is correct. But, you can't just decide that because coffee is more profitable that you will produce more. You have to prepare land, plant coffee bushes, wait for them to mature, then harvest the additional beans, and process them in order to increase production. Takes time.

Still have questions? Get answers by asking now.