Once again, consider the market for avocados. Approximately 32 percent of the world's total production of avocados come from Southern California. Suppose that devastating wildfires destroy large swaths of California's avocado crop. Which of the following statements describes the effect the wildfires will have on the price and quantity (i.e., equilibrium price and equilibrium quantity) of avocados?        The price will increase and the quantity will decrease.       The price will decrease and the quantity will increase.       Both the price and the quantity will decrease.       Both the price and the quantity will increase

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Equilibrium Price and Quantity

Equilibrium refers to a state of balance that comes about because there is equality in all forces.