If the price of coffee increases because demand increased, does the quantity of supply to increase or decrease?
- 6 months ago
I think that the price of coffee varies with the quantity of supply
- OiyLv 56 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
- ZirpLv 77 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...
- The Football GodLv 77 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.
- GregLv 77 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.