If apples and pears are substitutes in consumption, then a disease that affects apple trees will most likely _____ A. increase the price of apples and reduce the price of pears. B. reduce the price of both apples and pears. C. reduce the price of apples and increase the price of pears. D. increase the price of both apples and pears.

Essentials of Economics (MindTap Course List)
8th Edition
ISBN:9781337091992
Author:N. Gregory Mankiw
Publisher:N. Gregory Mankiw
Chapter5: Elastic And Its Application
Section: Chapter Questions
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If apples and pears are substitutes in consumption, then a disease that affects apple trees will most likely _____

  • A. increase the price of apples and reduce the price of pears.
  • B. reduce the price of both apples and pears.
  • C. reduce the price of apples and increase the price of pears.
  • D. increase the price of both apples and pears.
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