Question

What would happen to the market for orange juice if a storm in FL during the growing season destroys much of the orange trees and the American Medical Association discovered a positive link between orange juice consumption and school achievement?
(A)Equilibrium price and equilibrium quantity will increase.
(B) Equilibrium price and equilibrium quantity will decrease.
(C) Equilibrium price will decrease and equilibrium quantity will increase.
(D) Equilibrium price is indeterminate from the information given and equilibrium quantity will increase.
(E) Equilibrium price will increase and equilibrium quantity is indeterminate.

Answer 1

Well if they better and there's fewer price would increase so from that we have A and E. But if the trees are destroyed they'd decrease so I would go with E :)

Answer 2

E Is the answer hope this helps