The interaction of markets

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Question 3
Medium

The diagram below shows the demand and supply of coffee beans. The market is initially in equilibrium at EEE.

Demand and supply diagram for coffee beans

What would be the most likely cause of the market equilibrium moving from E E\,E to E1E_1E1​?

Decrease in the costs of cultivating coffee beans and negative health reports about caffeine

Decrease in the costs of cultivating coffee beans and positive health reports about caffeine

Increase in the costs of cultivating coffee beans and negative health reports about caffeine

Increase in the costs of cultivating coffee beans and positive health reports about caffeine

The interaction of markets Questions

  1. A Level
  2. /Economics
  3. /The interaction of markets