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Microeconomics

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Market Shifts: Dearth by Chocolate

MICRO-KEN1KG

Very recently, the supply and demand curves for chocolate cake were:

$$P = 10 + 3Q_s$$
$$P = 60 - Q_d$$

However, due to a forest fire in Brazil, there is far less chocolate in the market and the price of a particular type of chocolate (a type that is necessary for making chocolate cake, but not really used in other kinds of chocolate products) has increased significantly.

Which of the following might represent the change in the market?

A

The supply curve will become $P = 20 + 4Q_s$.

B

The supply curve will become $P = 5 + 2Q_s$.

C

The demand curve will become $P = 30 - 2Q_d$.

D

The demand curve will become $P = 80 - Q_d$.