Question

The price of soft drinks increases. Which of the following is not part of the likely chain of events that follows from this price​ change? A. Producers of soft drinks increase their production of soft drinks. B. The manufacturers of soda−canning machines lay off some workers. C. Some consumers of soft drinks reduce their consumption of soft drinks. D. The demand for fruit juices increases.

Answer 1

Answer:

The correct answer is the option B: The manafactures of soda-canning machines lay off some workers.

Explanation:

On the one hand, all of the events presented in the text will happen after the price of the good increases. And that is because of the regular laws of the economy, for example, when the price of a good increases the supply of this one will increase as well and the demand of substitutes of the product will increase as well and the demand of it will decrease.

On the other hand, the manufactures of product that are substitutes to the good will increase its production due to the fact that now their product will be more demanded because the other good have just increased in price. So it is not possible that the manufactures of soda-canning lay off some of their workers.