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Buyers rush to purchase stocks in Ontario vineyards following a forecast of a 30

ID: 1227320 • Letter: B

Question

Buyers rush to purchase stocks in Ontario vineyards following a forecast of a 30 percent decline in this year's grape harvest. What happens in the Ontario wine market as a result of this announcement? The demand curve for Ontario wine shifts to the left in anticipation of higher prices in the future. The demand curve for Ontario wine shifts to the right in anticipation of higher prices in the future. The supply curve for Ontario wine shifts to the right in anticipation of higher prices in the future. The supply curve for Ontario wine shifts to the left in anticipation of lower quantities in the future.

Explanation / Answer

Answer

D

because demand will stay contant in future but supply will decrese as the input production is decresed. so many of the producer increse price at the same quantity.