Suppose there is a flood in St. Louis, Missouri, that destroys several beer bottling facilities. Which of the following would not be a direct result of this event?

A) Sellers would not be able to produce and sell as much as before at each relevant price.
B) The supply would decrease.
C) Buyers would not be willing to buy as much as before at each relevant price.
D) The equilibrium price would rise.

Question

Caroline Hammond · Accepted Answer

Final Answer : C, Explanation :  The destruction of beer bottling facilities directly affects the sellers' ability to produce and supply beer, not the buyers' willingness to purchase beer. Choices A, B, and D are direct consequences of reduced production capacity, while C is not directly related to the event described.

Definitions

Learning Objectives

Learning Objectives

Related questions