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Interrelationship between Markets: Poor coffee harvest conditions

The aim of this question is to investigate the consequences of changes in the harvest conditions for growers of coffee, and the impact on the price of tea and milk.

What is the impact of poor coffee harvest conditions on the coffee and tea markets? (select one answer)

(a) * supply in the coffee market will increase and demand in the tea market will decrease
(b) * supply in the coffee market will decrease and demand in the tea market will increase
(c) * supply in the coffee market will increase and demand in the tea market will decrease
(d) * supply in the coffee market will decrease and demand in the tea market will increase

What are the consequences on the coffee, tea and milk market if there are poor harvest conditions for growers of coffee?; Try This

(Type your answer to the previous question in the box below, then click on explain)

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