Potatoes are produced by competitive farmers with free entry and exit. They are an inferior good. Suppose that due to a crisis, consumers’$’$ incomes suddenly decrease. What is likely to happen on the potato market?

($($a)$)$ Price rises initially, then falls; quantity rises.

($($b)$)$ Price falls initially, then rises; quantity falls.

($($c)$)$ Price rises initially, then falls; quantity falls initially, then rises.

($($d)$)$ Price falls initially, then rises; quantity rises initially, then falls.

($($e)$)$ Price rises initially, then falls; quantity rises initially, then falls

 

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