Question

Suppose the following two events occur at the same time: the Chicago Cubs win the World Series, and the workers who make Cubs merchandise overseas go on strike. Holding everything else constant, we would expect the price of Cubs' merchandise next season to _____ and the quantity of merchandise sold to _______.

Answer 1

Answer:

The correct answer is increase; increase or decrease.

Explanation:

In a situation where there is a saturation of demand compared to the decrease in supply caused by issues other than the market, it is most likely that in the next season a larger quantity will begin to be produced as would have happened when the cubs won the series. worldwide, but this does not guarantee that the offer will respond in the same way as when that situation arose. An adverse situation is not predictable within sales expectations.