Question: Professor Carrie Meyer of George Mason University presents her students
Professor Carrie Meyer of George Mason University presents her students with the following scenario: "Suppose a frost destroys much of the coffee harvest in Colombia. Show why equilibrium price and quantity change. Suppose, during this period, many coffee drinkers learn to kick the coffee habit. What happens to price and quantity when coffee production returns to normal in the following year?" How would you answer her question?
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